Answer: Employers should set forth in their holiday policy an explanation of what will happen if an employee is required to work on a day the employer has designated as a paid holiday.
Because the policy of giving a paid day off will be construed by the courts as a contract to do so, the employer must make up the lost benefit to the employee in some manner. The normal procedure is to grant another day off or pay holiday pay plus all hours worked on the day designated as a holiday. No special overtime pay requirements apply on holidays.
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