The horrible situation that is ongoing in Texas should remind employers to put in place emergency preparedness for their business operations and workers.
While many large corporations hire experts to have such operational contingencies, small businesses typically don’t have those resources.
To start, organizations should implement an inclement weather/business closure policy that would cover the more typical closures like snowstorms or other common issues like power outages.
Employers should determine how they will communicate with employees in case of emergency and should consider not just cell and home phone information but also social media access through the organization’s website or a special emergency social media site just for employees and/or families of employees.
Employers need to determine in advance how they will pay employees in case of closure. Ideally, employers should set aside some funds in case of the need to pay employees when the organization cannot open and employees cannot work.
Imagine the Texans who had to evacuate and also are having to worry about their employment. Employers ideally are able to cover the employee cost for at least a week if necessary.
If employers have not considered the pay issue, federal law mandates payment for certain employees, and not for others:
- For exempt employees (an employee properly classified as exempt from overtime), if the employee works any part of the week, the exempt employee must be paid for the entire week.
If an exempt employee is ready and available to work, that employee must be compensated.
But if the office is closed an entire week and the employee does not work any portion of the week, the exempt employee need not be paid for that week. Note that an exempt employee who works from home is considered working.
- Non-exempt employees need not be compensated when the office is closed and they do not work. But employers should consider paying employees who were scheduled to work. Those who work part time and would not otherwise be working that day, or those on vacation or sick leave, would generally not be eligible for the special pay.
Some employers will expect employees to come to work during inclement weather. If this is the case, the employer must communicate this expectation in advance, and the consequences for failure to come to work.
Those who live far away should make arrangements, and employers can seek the help of other staff members who may have vehicles that can be used in inclement weather.
But for employers whose employees are emergency/mandatory employees (for instance, police/hospital/nursing homes), the employer needs to develop a plan for each of those staff members to make sure that they are able to come to work. For example, TV stations will frequently house staff in a nearby hotel just before the expected weather with a plan to transport them to the station. The time that the employee spends in the hotel need not be compensated so long as the employee is not restricted in his or her activities.
If the organization will open regardless of the conditions (such as no power/flooding), the Occupational Safety and Health Administration requires that an adequate supply of potable water be provided in all places of employment. After Hurricane Katrina, many offices didn’t realize the requirement and opened even though they had no power or water.
These emergency situations are stressful for everyone, especially when the schools in the area seem to close for a week when there is 2 inches of snow and ice.
Employers and employees need to have a plan in place in case of an emergency, and employers must encourage staff to consider what they would do in an emergency situation.
If possible, employers should consider a telework arrangement in the case of inclement weather, but this needs to be approved in advance of the office closure, with a plan on the work expectations depending on whether the employee will have access to electricity and the internet.