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Benefits Implications of Compressed Workweeks - Holidays


Non-exempt employees:

Regardless of work schedule, all full-time non-exempt employees receive eight hours of holiday pay per designated holiday.  There are several options for recording the holiday.

If the holiday falls on a regularly scheduled workday:

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Record 8 hours of holiday and 2 hours of vacation (or Paid Time Off [PTO]) to make up a 10-hour shift or one hour to make up a 9-hour shift.  

Record 8 hours of holiday and make up the one or 2 hours on another day the same week.

Revert to a "regular" 5-day schedule for the week in which the holiday occurs. The holiday is then taken and paid on the designated day.

If the holiday falls on a day when the employee is not scheduled to work:

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Take 8 hours off during the same pay period and record them as holiday pay. The remaining 2 hours would be worked or recorded as vacation (or PTO).

Revert to a “regular” 5-day schedule for the week in which the holiday occurs. The holiday is then taken and paid on the designated day.

Exempt employees:


Regardless of work schedule, all full-time exempt employees are paid their full salary for the holiday week.  Because exempt employees are paid to get a job done, any difference in number of hours is disregarded.

If the holiday falls on a regularly scheduled workday:

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Take the holiday off.

If the holiday falls on a day when the employee is not scheduled to work:

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Take a holiday on a day that is a scheduled workday.
 











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