Summer is one of the best times of the year! However, from Texas to Florida and all the way up the east coast, from June through October it’s a constant hurricane watch.
When it comes to hurricanes, businesses must worry about more than just a direct impact. Near-miss hurricanes require businesses to go into full hurricane prep. mode. In addition to ensuring employee safety, there are some employment issues to consider with disaster preparation. Below are a few items for employers to consider this hurricane season.
1️⃣ Compensating Employees
Employers should consider in advance whether they will compensate employees if a disaster prevents the workplace from operating. Under the Fair Labor Standards Act (FLSA), employers only need to pay non-exempt employees for the hours they actually work. However, if an exempt employee works only part of a day, the FLSA prohibits the employer from docking the employee for a partial day absence. If the exempt employee is precluded from working because the business is not operational, the employer may still have to compensate the employee and may not be permitted to require the employee to use paid leave for that day off. If the exempt employee is unable to report to work for a personal reason, including inability to travel to the workplace, the employer may be able to dock the employee for that day’s pay or require the employee to substitute paid leave for the day’s absence.
2️⃣ What about businesses that must remain open?
Businesses that must remain open need to identify essential personnel who are required to remain at work during the storm.
3️⃣ Show me the money 💰
Employers should consider how they’re going to pay employees who are not enrolled in direct deposit if the business is not functioning. Employers may wish to consider asking employees to enroll in a direct deposit program so that wages can be electronically transferred into their accounts. Employers in Florida cannot require employees to enroll for direct deposit of wages. Employers should check their specific state’s law before mandating direct deposit.
4️⃣ What about work-from-home employees?
Require employees working from home in the storm’s aftermath to track and log their hours worked. Non-exempt employees who are working from home must be paid for all hours worked. Employers will need some mechanism to track and limit the hours spent working remotely. If the company does not want non-exempt employees working from home, the employer should communicate that clearly before the storm arrives.
As always, employers should consult local labor and employment counsel to ensure compliance with any local/state laws.