Wages in a winter wonderland: pay challenges during inclement weather

During periods of severe winter weather, some businesses may opt to close for safety, convenience, or one of a myriad other reasons. Others, such as healthcare providers, provide critical services and often have no choice but to remain open when winter strikes. For them, adequate staffing is essential, which sometimes means requiring employees to remain on the premises to ensure they’re available for their next shift or to cover for coworkers who can’t make it. No matter what business you may be in, the effects of inclement weather and/or treacherous road conditions cause many headaches, including issues with employee payroll. Let's explore what the Fair Labor Standards Act (FLSA) requires when Mother Nature wreaks havoc.

What to do when employees are absent or tardy

For most FLSA-related inquiries, here is the critical question: Is the employee exempt or nonexempt from the Act’s requirements?

Nonexempt. If the business is open but employees are late or absent, the easiest situations to address are nonexempt (or “hourly”) employees. You’re required to pay them only for the time they spend performing actual work. If a nonexempt employee is absent from work or arrives late, you aren’t required to pay for any time missed, regardless of whether she was scheduled to work.