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Holiday/Vacation pay differences
Benefits & Compensation
Holiday/Vacation pay differences
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I'm trying to find out if holiday and vacation can be paid to management employees, and not to others, in Texas? I have looked, but can't seem to find any "set" answer on this.
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Forums » Topic Forums » Benefits & Compensation » Holiday/Vacation pay differences
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Holiday/Vacation pay differences
posted at 7/7/2009 6:31 AM EDT
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Posts: 2146
First: 2/15/2006 Last: 9/14/2011 |
Yes, Texas does not require anyone to be paid vacation or holidays, so the employer is allowed to set the policy. Many companies do it on a fulltime/parttime basis rather than a management/nonmgmt basis.
One caveat -- You also however have to deal with deductions from exempt employees pay under FLSA. So if you have an exempt employee who is not in that management group, you would still need to pay for any week in which the employee worked and the office was closed due to business reasons (holiday, etc). If they took off for a personal reason, you would not have to pay. If they take off due to sicknees, if you don't have a bonafide sick plan (Generally defined as 5+ sick days), then you would have to pay. |
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Holiday/Vacation pay differences
posted at 7/22/2009 11:42 PM EDT
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Posts: 49
First: 7/18/2009 Last: 8/17/2011 |
> if you have an exempt employee who
/> is not in that management group, />you would still need /> to pay for any week in which the employee /> worked and the office was closed due to /> business reasons (holiday, etc). If they /> took off for a personal reason, you would /> not have to pay. If they take off due to /> sicknees, if you don't have a bonafide /> sick plan (Generally defined as 5+ sick /> days), then you would have to pay. Would it be correct to say, even though holiday pay isn't mandatory in all cases, that an employer would be required to pay exempts when an office is closed for a holiday? In the case I mention, would this strictly be required to comply with the FLSA? I think this is what you're saying but I want to be sure. In other words, is there any case where it is permissible for an employer *not* to pay exempts when the employer deliberately chooses to shut the office on a holiday? |
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Holiday/Vacation pay differences
posted at 7/22/2009 11:44 PM EDT
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Posts: 49
First: 7/18/2009 Last: 8/17/2011 |
Also wondering if anyone has a policy where, if an exempt employee is out the day before or after a holiday, if you choose not to pay the employee for that holiday. I have heard of this policy but never seen it, and I wonder if it runs afoul of FLSA or any state laws.
If you have the policy, would the holiday not be paid due an unscheduled absence (sick time), scheduled absence (vacation), or both? And what is the rationale behind the policy? |
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Holiday/Vacation pay differences
posted at 7/23/2009 4:25 AM EDT
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Posts: 2146
First: 2/15/2006 Last: 9/14/2011 |
It is only okay not to pay if the employer closes the office for a whole workweek AND the employee does no work (i.e. doesn't check email from home, doesn't have to check voicemail, etc). But this very rarely happens. I do know that Hewlett-Packard does this over Christmas and New Years and if the exempt employee doesn't have enough PTO time in their bank, they are either not paid OR go negative into the next year's PTO bank.
There are very few reasons that an employer can dock an exempt employees pay. So it is always better to err on the side of paying rather than not paying. |
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