Holiday Pay vs Regular Hours

Question: As an employer, how do you compensate your employees when they work on a holiday that normally they would have off?

Answer: If your employee works on an holiday that is a regular scheduled paid day off, then that employee is entitled to both holiday pay and working regular hours for that day worked.

However, that doesn't mean your employee is ranking up the hours toward overtime. Your employee's pay should be broken up in the following way.

For example, the employee worked 42 hours that week, plus 8 hours for holiday pay. The employee's pay would look like this:

Regular hours 40
Over time 2
Holiday 8

Usually, holiday pay is at the same rate as your employee's regular hours. Unless your employee is a salaried employee or has a set day rate for compensation.

So the next time a holiday is around the corner, you can be assured that you and your employees are on the same page about getting paid.

Susan