Are there any downsides to paying a holiday premium to exempt employees?

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in Human Resources,Overtime Labor Laws

Q. Our policy says employees who work on holidays are paid time-and-a-half. If an exempt employee works on a holiday, can I pay him time-and-a-half?

A. That’s not a good idea. In general, exempt employees should be paid the same salary each week that they perform work, regardless of how many hours or days they work. If you pay an exempt employee time-and-a-half, it could undermine his or her exempt status.

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