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12/04/2024
HR Question of the Month: Employee Pay During Weather Closures
Federated Insurance, November 20, 2024
Question
We had to close our office for a few days due to the recent storms. Are employees entitled to be paid for the days we were closed? Does it matter if the employees are exempt or nonexempt? All our employees are paid a salary, but some are exempt and some are nonexempt.
Answer
An employer’s obligation to pay employee wages during weather-related absences depends on whether the salaried employee is exempt from federal Fair Labor Standards Act (FLSA) requirements and whether the employer remains open during the weather emergency.
The U.S. Department of Labor considers an exempt employee who does not report to work during a weather emergency to be absent from work for personal reasons when their employer remains open for business. Employers can lawfully deduct or withhold the employee’s wages for every full day that the employee does not report for work. However, salaried exempt employees who report to work—regardless of how late they report or how many hours they work that day—must be paid for a full day’s work.
If closed due to weather, employers must compensate salaried exempt employees for being ready, willing and able to work. However, exempt employees do not need to be paid for any full workweek in which they perform no work.
Determining payment for nonexempt employees is more straightforward. The FLSA requires employers to compensate their nonexempt employees only for the hours nonexempt employees actually work. An employer does not have to compensate a nonexempt employee for time not worked due to a weather emergency. Employers should check their state and local laws for any additional rules that may apply.
