Here is what I mean.
Our company pays on the 15 and last day of the month. Because of this, our cut off day is 4 days prior to the pay day. An issue came up with this last payroll because the 15 was a holiday and we paid on the 12. The issue is that an employee is saying we should have paid the holiday however I have never worked for a company that pays for a holiday before it happens. I do the payroll and at previous companies I have done the payroll they also paid the holiday on the payroll cycle following the holiday.
Am I wrong or is this the correct practice to pay in advance of the holiday? To me it feels like we are prepaying hours.
5 Comments
5 Comments
Parrish McMichael
30
Sales rep, healthcare industry. New Orleans, LA
02/18/21 at 2:46AM UTC
I may be confused, but Your payroll runs from a start date to an end date if the holiday falls with in that range you pay. If it is outside that range it gets paid on the date that encompasses that day.
2
1 Reply
Elizabeth Shimek
153
JD | Policy & Comms | Swing-state politics
02/24/21 at 12:13AM UTC
This has been my experience as well! If you choose to cash out payroll early due to a holiday, but it covers through the end of that pay period, then pay the holiday. Many workers are counting on paychecks of certain amounts to ensure bills are paid on time.
Reply
Krista Pasfield
41
Director of Operations & Corporate Secretary
02/18/21 at 3:17AM UTC
This sounds odd. Pay for a holiday is based on the company's payroll cycle; the holiday is captured whenever it occurs, not in advance. Your employee may be confused; do you have a policy where employees can request vacation pay in advance? If so, it may just be a matter of clarifying the difference between a company holiday and a vacation.
2
Reply
M Elizabeth Ingram
497
HR, administration, & benefits at work; mom of 2
02/24/21 at 11:17AM UTC
I think you did the right thing.
Do you have your pay cycle practices in writing? If this is a new hire, maybe they just need more education. If it isn't a new hire, and this hasn't been an ongoing issue, maybe point that out to them - we paid you for New Year's on whatever date, etc.
User edited comment on 02/24/21 at 11:19AM UTC
1
Reply
lupusgirlSocialMedia
540
Blogger, copywriter, skincare addict.
02/25/21 at 3:22AM UTC
I've never paid for any worktime (holiday or otherwise) before it occurred, so I think there might just need to be a conversation about pay cycles and payroll processing times.
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