Natural Disasters and Employee Pay

Posted by BAS - 05 December, 2019

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As we move into the colder months, employers may have questions about employment and wages during natural disasters.

The Fair Labor Standards Act sets the standards employers must follow for wages and hours of work. The FLSA requires employers to pay covered, non-exempt employees at least the federal minimum wage for all hours actually worked and overtime at 1.5 times pay for hours worked in excess of 40 in a workweek. These rules continue to apply during a natural disaster.

A Fact Sheet has been provided by the U.S. Department of Labor Wage and Hour Division to address questions on pay during a natural disasters. The fact sheet confirms:

  • If an employee worked the week prior to the disaster but the business is now closed, the employee must still be paid full minimum wage and overtime for hours actually worked.
  • Employers are not required under federal law to pay employees in excess of hours actually worked.
  • Volunteer hours to help with a natural disaster are not employment hours subject to work.

A copy of the fact sheet may be accessed by clicking here.

More information may be found on the Department of Labor’s Disaster Unemployment Assistance webpage which may be accessed by clicking here.

Topics: HR & Benefits Compliance


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