December 13, 2017 at 8:12 pm #135288
Jenna B Cabanos
Are small businesses required too pay Thanksgiving holiday even if they
are normally closed on Thursday?
Please respond. Thank you.December 13, 2017 at 8:19 pm #135391
1) No business is required to pay any holiday. There is no law mandating holiday pay. It’s always an optional employee benefit https://fitsmallbusiness.com/setting-up-employee-benefits/ that employers can provide to improve employee recruitment and retention https://fitsmallbusiness.com/employee-engagement-statistics/. Here’s an article with more detail: https://fitsmallbusiness.com/holiday-pay-policy/
2) Whether your business has to pay depends on what’s been promised in an offer letter, contract, or employee handbook. For instance if your business says it will pay for Thanksgiving holiday, then it needs to honor that policy, unless it clarified that it only pays holidays on regularly scheduled business days, or on days the employee was already scheduled to work.
It seems to me that if your business is always closed on a Thursday, that the business wouldn’t offer a paid holiday on that day — because employees wouldn’t have worked that day anyhow.
So in a nutshell, unless the business said they would pay for a holiday, they’re not obligated to pay for that holiday, because holidays are an optional employee benefit that employers can choose to provide. Some do. Some don’t. No law mandates it.
Hope that helps!
- This reply was modified 4 months, 1 week ago by Laura Handrick. Reason: added links, fixed typo