Do Employers have to Pay Overtime on Holidays
Do Employers have to Pay Overtime on Holidays?
Under the California State Law, hours put in by employees during holidays, Saturdays, and Sundays are considered as any other normal working day. There is no law that requires employers to provide its employees with paid holidays, give its employees a day off on any holiday or that the employer should close their business during that particular holiday. It is up to the employer to provide pay on holidays or close their business during holidays as there is no law in California that asks an employer to follow these practices. It solely depends on the following:
- Policies or practices adopted by the employer
- Terms and conditions of the collective bargaining agreement
- Terms and conditions of employment agreement between the employer and the employee
There is no law in California that requires employers to provide special pay for any work done during holidays.
- If there is a holiday in between a week and the employee had to work during that day, the employer is only obliged to provide the regular rate of pay, not overtime rate of pay for the work done during the holiday.
- It isn’t against the law nor is it considered overtime if an employer decides to keep their business open during all holidays and asks its employees to work on some of those holidays.
- If the employer pays the employee an extra amount due to a holiday during the work week, the extra pay isn’t subjected to overtime rates. The employer has the discretion and right to decide whether the employee gets paid for the holiday.
- If the employer provides holidays without pay, it is legal as there is no law that requires employers to pay its employees for holidays where no work was done.
Overtime will be considered only when an employee works for more than 40 hours in a week or more than 8 hours a day which includes holidays, Saturdays, and Sundays.