How do we deal with holiday and vacation time on these schedules?

All time off is generated and withdrawn on an hourly basis; the longer days of compressed schedules can make this seem complicated. The two charts below offer a simple summary:

Calculating Vacation Time   

Compressed workweek schedules have no effect on vacation accrual rates.  Vacation is accrued in terms of hours, not days.  However, in taking vacations, employees who want to take a full day off will need to record the number of daily hours they would have worked that day. 

For example, an employee working an eight-hour day on a compressed workweek would need to record eight hours of vacation in order to take a day off with full pay. An employee working a ten-hour day would need to record ten hours.  


Calculating Holidays

Non-exempt employees:

Regardless of work schedule, all full-time non-exempt employees receive eight hours of holiday pay per designated holiday.  There are several options for recording the holiday.

If the holiday falls on a regularly scheduled workday:

• Record 8 hours of holiday and 2 hours of vacation (or Paid Time Off [PTO]) to make up a 10-hour shift or one hour to make up a 9-hour shift.  
• Record 8 hours of holiday and make up the one or 2 hours on another day the same week.
• Revert to a "regular" 5-day schedule for the week in which the holiday occurs. The holiday is then taken and paid on the designated day.

If the holiday falls on a day when the employee is not scheduled to work:

• Take 8 hours off during the same pay period and record them as holiday pay. The remaining 2 hours would be worked or recorded as vacation (or PTO).
• Revert to a “regular” 5-day schedule for the week in which the holiday occurs. The holiday is then taken and paid on the designated day.

Exempt employees:

Regardless of work schedule, all full-time exempt employees are paid their full salary for the holiday week.  Because exempt employees are paid to get a job done, any difference in number of hours is disregarded.

If the holiday falls on a regularly scheduled workday:


• Take the holiday off.

If the holiday falls on a day when the employee is not scheduled to work:

• Take a holiday on a day that is a scheduled workday.