September 3, 2007
Holidays are Free
Labor Day seems to begin the holiday season for me. In these last few months of the year most companies observe the majority of the holidays provided for the year. However, it's tradition, not employment laws that dictate these holidays for companies.
It's true, there are no laws stating a company must be closed for the day or pay employees higher rates for working on a holiday. As far as the state and federal government is concerned, a holiday is just another work day if your company is open. But that's just the legal side of holidays.
As any recruiter can tell you, the number of holidays a company provides each year is a strong enticement or deterrent for job candidates. If you offer 10 paid holidays each year, an employee perceives that as two additional weeks of vacation. Plus holidays are very special to many people. Many holidays are family events and having that time off allows your employees to satisfy one of their basic needs: reconnecting with family and friends.
The basic holidays observed by most companies include: New Year's Day, Memorial Day, Independence Day, Labor Day, Thanksgiving, and Christmas. Many companies often add President's Day to help bridge the long gap between New Year's and Memorial Day. For those companies trying to come up to a higher total number of holidays, consider adding the day before or after Independence Day, Thanksgiving, or Christmas which could result in a four-day weekend. Believe me, your employees will be excited with any extra days you choose!
The calendar changes each year and so will whatever holidays you choose. You should always publish a new holiday list each December so your employees can make plans to take advantage of the holidays your company will observe. In addition, the holiday list handout should also be clear about whether the holidays will be paid or not and under what conditions. For example, some companies won't pay for the holiday if the employee is absent the workday prior to or after the holidays (except for pre-approved absences).
If your company stays open and employees must work on holidays, try to be as fair as possible when scheduling so your employees equally share the burden. Also create your holiday schedule as far in advance as possible so your employees can make holiday plans accordingly.
Paid holidays are a benefit. Make sure you leverage that fact when you talk about the benefits your company offers!
Filed under Employee Benefits by C.J. Westrick
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