Here’s an interesting answer to a question that my friend Corrine Nadolny has just sent to me via email.
According to Corrine, who is a consultant for Paychex payroll processing, she was being asked by her customers:
Some CPA’s and clients have asked, if businesses were closed last week due to power outages and hourly employees were available to work but couldn’t, do they still have to be paid? Or should they collect? If the employer offers them extra hours to make up the lost hours, do they have to pay OT?
To which Corrine say’s that she called the CT Department of Labor and received this response:
I just called the Dept of Labor:
Exempt ee’s have to be paid
Non-exempt employees:
Do not have to be paid, they have the right to collect
If they work more than 40 hours to make up the time, they have to be paid 1.5 X
Comp time is illegal for non-exempt ee’s
Paychex’s contingency plan was tested again and payrolls were processes last week without missing a beat! If any of your clients had difficulty with their payroll processing and need help, please ask them to contact me directly.
Corrine
Corrine Nadolny
Paychex Inc
714 Brook Street
Suite 120
Rocky Hill, Ct 06067
Office (860)257-0677 Ext. 25012
Fax (866)784-5725
cnadolny@paychex.com
Tip: Always check with your own tax provider about these types decisions. The information on our web site is general in nature and may not apply to your company’s particular situation. We are not in the business of providing tax or accounting advice and make not guarantee about the reliability of the above information.