Compensation Solutions Blog
Human Resources Outsourcing (HRO – PEO – ASO – Payroll – Agency)

Employee Pay and Attendance Issues: When Bad Weather Strikes

Plan Ahead to Minimize Disruption

It’s that time of year again, when snow and slippery conditions may make it difficult for your employees to travel to work. Consider the following guidelines that can help your company be prepared when bad weather strikes.

1. When an employee misses work due to bad weather conditions, whether the employee is entitled to be paid for the absence may depend on the employee’s exempt or non-exempt status.
Under the federal Fair Labor Standards Act (FLSA), employers are not required to pay non-exempt employees for hours they did not work, including when the office is closed due to bad weather.

Exempt employees generally must be paid their full salary amount if they perform any work during a workweek. However, an employer that remains open for business during a period of bad weather may generally make deductions, for full-day absences only, from the salary of an exempt employee who chooses not to report to work because of the weather. If the business is closed for the day, the employer may not deduct the day’s pay from the salary of an exempt employee.

2. Some states require employers to pay employees for showing up even if there is no work that can be performed (such as when the office is closed) or the employee is sent home early (for instance, due to an impending storm).
Often called “reporting time pay,” these laws may apply to specific industries (e.g., manufacturing) or certain employees only, so it is important to check with your state labor department for requirements that may apply to your company before implementing any policy.

3. Plan ahead so your employees know what is expected of them and to help minimize disruption to your business.
Notify all employees, both exempt and non-exempt, of your company’s policy regarding employee attendance and pay during periods of inclement weather, including information on how your employees can find out whether the office is open or closed. Be sure to apply your policy consistently and fairly to all employees.

It’s also prudent to remind employees to use their best judgment and not to put their safety at risk when it comes to traveling to work during or after a storm. If possible, see if you can arrange for employees to work remotely from home on days when the weather makes travel dangerous.

For more issues related to employee compensation, including guidelines for determining the exempt or non-exempt status of your employees, call us at 201-405-1115.