Do we have to pay nonexempt employees when we close due to severe weather?

Jun 11, 2026 | Time & Attendance

When you close due to inclement weather, nonexempt employees (those who are entitled to overtime) need to be paid only for actual hours worked plus any reporting time pay that might be required by state law.

You have the following options when it comes to if or how you pay nonexempt employees for time they missed:

  1. Pay them for the time, even though they didn’t work
  2. Require they take the day off unpaid
  3. Require they use any available vacation time or paid time off (PTO)
  4. Allow them to choose between taking unpaid time off or using vacation or PTO

All four options have their merits. We generally recommend option 4, allowing nonexempt employees the choice of using vacation time or PTO.

This Q&A does not constitute legal advice and does not address state or local law.