Do You Have to Pay Employees When You Close for Bad Weather?
Quick Answer
Under federal law, hourly (non-exempt) employees generally only have to be paid for the hours they actually work, so you usually don't have to pay them for a weather closure unless state law, a contract or your own policy says otherwise. Salaried exempt employees are different: the Department of Labor says they must receive their full predetermined salary for any week in which they perform any work, and deductions can't be made for absences caused by the employer or the operating requirements of the business. Some states require reporting-time pay for employees sent home after arriving.
A snowstorm closes the roads. A hurricane is coming. The power goes out at 9 a.m. When you have to close the business, one of the first questions employees ask is: "Will I get paid?" And one of the first questions owners ask is: "Do I have to pay them?"
The answer depends on whether employees are hourly or salaried exempt, whether they worked at all that week, whether they showed up before you closed and what your state law and your own policy say. This guide walks through the federal rules, state issues, examples and a free weather closure policy template.
Note: This is general information, not legal advice. This guide covers federal rules under the Fair Labor Standards Act (FLSA). State laws, union contracts and your own policies can require more. Check your state labor department's rules.
The Quick Answer
| Employee type | Business closed for weather | Generally required to pay under federal law? |
|---|---|---|
| Hourly (non-exempt) | Didn't work that day | No, only for hours actually worked |
| Hourly (non-exempt) | Worked part of the day before closing | Yes, for the hours worked |
| Hourly (non-exempt) | Worked from home | Yes, for the hours worked |
| Salaried exempt | Closed part of a week in which they worked | Yes, full weekly salary |
| Salaried exempt | Closed for an entire workweek and they did no work | No |
Hourly (Non-Exempt) Employees
The Department of Labor says the FLSA does not require employers to pay non-exempt employees for hours they did not work. If the business is closed and an hourly employee doesn't work, federal law generally doesn't require you to pay them for that time.
But several things can change that:
- Any work counts. If an employee answers work calls, responds to emails or works from home during the closure, that time must be paid. See working off the clock.
- Time worked before closing. If an employee works two hours before you close, those two hours must be paid.
- Waiting time. If you ask employees to stay on site and wait to see whether you'll reopen, that time may be hours worked. The Department of Labor says employees who are "engaged to wait" are working. See on call vs. on the clock.
- State reporting-time pay. Some states require minimum pay when employees report to work and are sent home. See reporting time pay by state.
- Your policy or contract. If your handbook or a union contract promises pay for closures, you must follow it.
Salaried Exempt Employees
Exempt employees are paid on a salary basis, and the rules are stricter. The Department of Labor says employers must pay an exempt employee the full predetermined salary amount for any week in which the employee performs any work, and that deductions may not be made from the predetermined salary for absences occasioned by the employer or by the operating requirements of the business.
In practice, that means:
- If you close for two days in the middle of a week, and an exempt employee worked the other three days, you generally must pay their full weekly salary.
- Deducting from the salary for the closed days isn't allowed under the salary basis rules and can put their exempt status at risk.
- If you close for an entire workweek and the exempt employee does no work at all, federal rules generally don't require salary for that week.
Can You Require Exempt Employees to Use PTO?
The Department of Labor says an employer can substitute or reduce an exempt employee's accrued leave for absences directed by the employer because of lack of work, as long as the employee still receives the full predetermined salary for any week in which they perform any work. Check your state's rules on requiring use of paid leave. See can an employer force you to use PTO.
Examples
Example 1: Hourly Employee, Full-Day Closure
A retail store closes Tuesday for a snowstorm. Jordan, an hourly cashier, was scheduled for 8 hours but didn't work. Under federal law, the store doesn't have to pay Jordan for Tuesday. If the state has a reporting-time pay law, it generally only applies if Jordan reported to work, and Jordan didn't. The store's policy lets employees use PTO for weather closures, so Jordan chooses to use 8 hours of PTO.
Example 2: Hourly Employee Sent Home
A restaurant opens Wednesday, but the power goes out at 10 a.m. Sam arrived at 9 a.m. and worked one hour. Under federal law, Sam must be paid for the hour worked. In a state with reporting-time pay, Sam may be owed additional pay for being sent home early. The manager checks the state rule before payroll.
Example 3: Exempt Employee, Mid-Week Closure
An office closes Thursday and Friday for a hurricane. Taylor, an exempt office manager, worked Monday through Wednesday. Under federal rules, Taylor must receive full salary for the week. The company can't dock Taylor's salary for Thursday and Friday. Its policy asks exempt employees to use PTO for closure days if they have it, while still receiving full salary.
Example 4: Remote Work During a Closure
A small accounting firm closes its office for ice but asks employees to work remotely. Hourly staff who work from home clock in and out with the mobile time clock and are paid for every hour. Those who can't work from home can use PTO or take the time unpaid.
Remote Work During Weather Closures
Many businesses can keep working remotely during a closure. If you ask hourly employees to work from home, every hour they work must be recorded and paid, including time spent on calls, emails or messages. Give them an easy way to clock in and out remotely. See the remote work policy template.
Be careful with informal expectations. If a manager texts hourly employees asking them to "keep an eye on email" during a closure, any time they spend responding is work time.
Should You Pay Anyway?
Even when federal law doesn't require it, many small businesses choose to pay employees for some or all of a weather closure. Common approaches:
| Approach | How it works | Considerations |
|---|---|---|
| Pay for all closures | Employees receive scheduled pay | Generous; costly for long closures |
| Pay for the first day | Paid for day one, then PTO or unpaid | Balances cost and goodwill |
| PTO option | Employees can use PTO or take unpaid | Keeps paychecks whole for those with PTO |
| Make-up time | Employees make up hours later in the same workweek | Watch overtime rules |
| Unpaid | No pay for hours not worked | Lowest cost; can hurt morale |
Make-up time only avoids overtime if it's in the same workweek. See make-up time policy.
Free Weather Closure Policy Template
Weather and Emergency Closure Policy
Purpose: This policy explains how [Company] handles closures, delayed openings and early closings because of severe weather or other emergencies.
How we decide: [Owner/manager] decides whether to close, open late or close early, based on safety.
How we tell you: We'll notify employees by [text/app/phone] by [time] whenever possible. If you don't hear from us, assume we're open, but use your judgment about safety and tell your manager if you can't make it safely.
Hourly employees: If we close, you'll be paid for any hours you worked before closing [and any reporting-time pay required by state law]. For scheduled hours not worked because of a closure, you may [use available PTO / take the time unpaid / make up the time within the same workweek with approval].
Salaried exempt employees: You'll receive your full salary for any workweek in which you perform work. [You may be asked to use available PTO for closure days.]
Remote work: If we ask you to work remotely during a closure, hourly employees must record all time worked using [time clock app], and all time worked will be paid.
If we're open but you can't safely get here: Tell your manager as soon as possible. You may use PTO or take unpaid time. [Weather-related absences will not count against attendance points.]
Have an employment attorney review the policy before using it, especially for state-specific pay rules.
Planning Ahead for Weather Closures
- Write a closure policy before you need it.
- Decide who makes the call and by what time.
- Set up a fast way to notify everyone, such as group text or an app.
- Know your state's reporting-time pay rules.
- Decide your pay approach for hourly and exempt employees.
- Set up remote clock-in for employees who can work from home.
- Plan customer communication: phone message, website and social media.
- Review the policy each year before your storm season.
Common Weather Closure Pay Mistakes
- Docking exempt salaries for partial-week closures.
- Not paying hourly employees for time worked before closing.
- Ignoring remote work during closures.
- Asking employees to wait on site without paying them.
- Forgetting state reporting-time pay.
- No written policy, so decisions are inconsistent.
- Late notice, so employees travel in dangerous conditions.
- Penalizing employees who can't get in safely.
Weather Closure Checklist
| Step | Done? |
|---|---|
| Written closure policy | |
| Decision-maker and deadline set | |
| Notification method set up | |
| State reporting-time pay rules checked | |
| Pay approach decided for hourly and exempt employees | |
| Remote clock-in available | |
| Attendance policy updated for weather absences | |
| Customers notification plan |
Delayed Openings and Early Closings
Not every weather event means a full-day closure. For delayed openings and early closings, the same principles apply: hourly employees are paid for the time they actually work, and exempt employees keep their full weekly salary in any week they work.
| Situation | Hourly employees | Exempt employees |
|---|---|---|
| Open 2 hours late | Paid for hours worked after opening | Full weekly salary |
| Close 3 hours early | Paid for hours worked before closing (plus any state reporting-time pay) | Full weekly salary |
| Employee chooses to stay home while open | Unpaid or PTO under your policy | Full salary rules apply; PTO may be used under your policy |
When Employees Can't Get In but You're Open
Sometimes the business stays open, but some employees can't safely travel. Under federal law, hourly employees who don't work aren't owed pay for those hours, though your policy may allow PTO. For exempt employees, the rules are more complex: absences for personal reasons can be handled differently from employer-caused closures. Talk to your payroll provider or an attorney before making any deduction from an exempt employee's salary.
Whatever you decide, put safety first. Make it clear that no one will be penalized for staying home when conditions are dangerous, and consider excluding weather absences from attendance points. See the attendance policy template.
Communicating a Closure
Sample closure text message
"Due to the snowstorm, [Company] is closed today, [date]. Hourly employees: you won't be scheduled today. You can use PTO for today if you'd like. Salaried employees: you'll receive your regular salary this week. If you're asked to work remotely, please clock in on the app. We'll update you by 6 p.m. about tomorrow. Stay safe!"
Send the message early, explain pay clearly and give a time for the next update. Clear communication prevents confusion and keeps people off dangerous roads.
Questions Employees Often Ask
"Will I get paid if we close?" Hourly employees are paid for hours worked, and your policy explains whether PTO or other pay is available. Salaried exempt employees generally receive their full salary for any week they work.
"What if I already came in?" You'll be paid for the time you worked, plus any reporting-time pay your state requires.
"Can I work from home instead?" If your role allows it and your manager approves, yes, and all hours must be recorded.
After each closure, take a few minutes to review what worked: how quickly employees were notified, whether pay questions came up and whether the policy needs clearer wording before the next storm.
Share any updates with the team before the next season, so everyone knows what to expect.
Handle Closures Smoothly With Updoot
Updoot's mobile time clock lets employees clock in and out from home during a closure, so every remote hour is recorded. Scheduling makes it easy to update shifts and notify the team quickly, and the payroll report shows exactly who worked how many hours during the closure week.
Sources
- U.S. DOL: Fact Sheet #70, Furloughs and Other Reductions in Pay
- U.S. DOL: Fact Sheet #22, Hours Worked Under the FLSA