Perhaps you've experienced a moment of panic at 11 a.m. on Thanksgiving morning when you realized that you'd forgotten cranberry sauce. Or maybe you slapped your forehead and said, "Oh, that's just terrific," when it dawned on you that your July 4th barbeque starting in an hour lacked paper plates, napkins, and ice.
Either of these instances would be easily resolved with a quick trip to a local store. You might even have an extra smile and word of thanks for the people working there on a federal holiday. Without them, you would have been in trouble.
What if you're the one behind the counter doling out coffee and bagels to the bleary on New Year's Day? It's nice that people are appreciative, but should you be receiving extra compensation for being there? Are businesses required to pay overtime to employees who work on federal holidays?
When Are the U.S. Federal Holidays?
Let's start our search for an answer by identifying what a federal holiday is. The federal government recognizes 11 days a year as federal holidays. In general, offices are closed and federal employees have a paid day off. The federal holidays are:
- New Year’s Day January 1
- Martin Luther King Jr. Day 3rd Monday in January
- Washington’s Birthday (Presidents Day) 3rd Monday in February
- Memorial Day last Monday in May
- Juneteenth National Independence Day June 19
- Independence Day July 4
- Labor Day 1st Monday in September
- Columbus Day 2nd Monday in October
- Veterans’ Day November 11
- Thanksgiving Day 4th Thursday in November
- Christmas Day December 25
Federal employees in the Washington, D.C. area also get an Inauguration Day Holiday every four years on January 20th. If a holiday falls on a weekend, the day off is moved to either Monday (for a Sunday) or Friday (for a Saturday).
A federal employee who works on a federal holiday receives holiday premium pay. In addition to their regular pay, for each hour they work they receive payment equal to their basic rate of pay. This holiday pay is often referred to as "double-time" pay.
This is sometimes mirrored on the state and municipal level. A DPW worker setting up barriers and cleaning up after the Memorial Day parade in your town may be collecting the equivalent of premium holiday pay.
What Are the Requirements To Receive Overtime Pay?
Federal holidays are paid days off for federal employees, but that doesn't impose any legal requirements for the rest of the country. States aren't legally obligated to close their offices on federal holidays, although most do. Most school districts observe federal holidays as well. Businesses also have the option whether or not to close. But do they owe their employees extra pay if they have to work?
The Fair Labor Standards Act (FLSA) requires employers to pay overtime for any hours worked over 40 in a single workweek (seven consecutive 24-hour periods) under federal law. Overtime pay is calculated at 1.5 times the employee's usual pay rate. States such as California require overtime pay if you work more than eight hours in a single workday as well.
Most salaried workers are exempt from receiving overtime pay under the FLSA. For non-exempt employees, overtime pay is possible for working on a federal holiday if the hours constitute overtime hours as defined by the FLSA or under state law. If working on Veterans' Day pushes an employee's work hours for the week over 40, they're eligible for an overtime rate of 1.5 times the usual amount.
If you feel like your employer is ignoring overtime laws and violating your employee rights, seeking legal advice from an employment law attorney might be a good idea.
Is Overtime Holiday Pay Required for Working on a Federal Holiday?
Unless it's part of a negotiated labor agreement or an employment contract, there's no legal obligation for private employers to pay overtime on a federal holiday outside of normal FLSA requirements. Employers can offer increased pay on a federal holiday as a bonus or an incentive to entice workers, but they're not required to do so.
To take it a step further, private businesses don't have a legal responsibility to give employees any of the federal holidays off unless it's part of a collective bargaining agreement. Most do so as a benefit, enticement, or an understanding that requiring workers to show up on Labor Day makes for a grumpy office.
It's a common practice, as according to the U.S. Bureau of Labor 77% of American workers received at least one paid holiday day off in 2018. Even the most ambitious and aggressive of companies understand that everyone needs some time off. Some may allow employees to "trade" a federal holiday for a religious holiday.
So the next time you have the day off from work and are running errands, consider tossing a buck or two into the tip jars of local businesses. Those who have to be there will surely appreciate it.
Related Resources:
- Find Business & Commercial Lawyers Near You (FindLaw's Lawyer Directory)
- Can Seasonal Holiday Employees Get Unemployment or Other Benefits? (FindLaw's Law and Daily Life)
- Ho, Ho, Hold My Pay? Paid Holidays not Guaranteed by Law (FindLaw's Law & Daily Life)
