2020 is a leap year, meaning that there is an additional day in February. Leap years happen every four years, and the additional 29th day means an extra day of operations for business owners. This extra workday raises the question of how to pay employees correctly and how to schedule employee work times. Here’s what employers need to know about managing and paying their employees on leap day.
For businesses with staff who work in shifts, scheduling an extra day of work might lead to complaints of unfairness or inconvenience. To avoid this, notify your staff well ahead of time and ask who is willing to work this day. Plan and release the shift schedule in advance. HR software like BrightHR can help employers build, draft and change schedules easier and quickly share them with their teams online.
Paying Employees for an Extra Day of Work
How you pay your employees on February 29th depends on whether they are paid by salary or receive hourly wages. If an employee is paid a salary, they are not necessarily entitled to extra pay even if they work this extra day. Employees on salaries would only be entitled to extra pay on leap year if this was explicitly stated in their contract. However, if you do not pay your salaried employees for the extra workday, you must ensure that this does not send their overall pay below your province’s minimum wage requirement.
Employees who are paid hourly wages would be entitled to pay as usual. This means that they would be entitled to receive pay for all hours worked on the 29th, as they would be on any other day.
Do you want further clarification on your employer obligations during leap year?
Speak to our HR advisors to learn the best HR practices for managing employees on February 29th. We help employers avoid employment issues and operate their businesses in compliance with the law. Contact us today: 1 (833) 247-3652.