sample policies

36 BUSINESS MANAGEMENT DAILY
The Holiday Pay Issue
You have some important policy decisions to make when it comes to compensation
for holidays. Here are some questions and answers:
• Are employees who work on government-recognized holidays supposed to get paid at
higher rates
No, according to the FLSA and the U.S. Department of Labor. Employers have the
option of offering regular or premium pay for holiday work.
• If you give workers time off for working on holidays, can you give it without pay
Yes, according to the FLSA. Employers may give holiday workers time off on an
alternative day, with or without pay.
• When a legal holiday falls on a Sunday, must you give employees the following Monday
off with pay
There are no state laws or federal regulations that apply to this dilemma. But when
a holiday falls on a weekend, it is a common practice among businesses to observe
the holiday on the workday nearest to that holiday.
14th amendments guarantee workers the right to freedom of religion. To avoid religious
discrimination claims and morale problems, you should make every effort to
accommodate the employee whenever possible. Make sure your company policy
demonstrates an acceptance of all religions and a commitment to reasonable accommodation
of employees of all faiths. You could state that employees can take religious
holidays other than Christmas as personal days or as unpaid leave.
Sample holiday policies
“XYZ will observe the following days as paid holidays: New Year’s Day, Memorial Day
(as observed by federal offices), the Fourth of July, Labor Day, Thanksgiving Day and
Christmas Day.
“The office will also close early on Christmas Eve and will be closed the day after
Thanksgiving as well, but these are not paid holidays.
“Employees may also choose to take the following days off on an unpaid basis if
they give the company two weeks’ notice: Martin Luther King Day, Presidents Day,
Good Friday and Veterans Day.”
—A small Midwest manufacturer
A second policy lists the holidays observed and then focuses on which categories
of employees get paid holidays, which simply get the day off, and how each is
compensated if they have to work on the holiday:
“Regular employees have paid time off on the holiday, unless otherwise scheduled.
When the holiday falls on the employee’s regular day off, full-time employees
may schedule a paid day off within two weeks preceding or following the holiday.
Part-time employees will be paid only for holidays that fall on their regular workdays.
If the holiday falls on a non-workday, they will not be paid for it. However, if the
holiday falls on a regular workday and they are asked to work on the holiday, they
may schedule a substitute day off with pay.