Sick Leave for Exempt Employees

How do most of you handle sick leave or personal time off for salaried exempt employees? How does it compare to your plan for non-exempt employees? Thanks in advance for your input!

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  • Our exempt level employees have a "salary continuation policy" in that they continue to receive their full salaries for a period of up to three months. If they are off work due to a non-serious illness/injury they are still paid their salary. There is no payroll deduction and the employees are entrusted to make up their time accordingly.

    Non-exempt employees have five "personal" days per anniversary year.
  • We currently have a PTO plan in place that includes only sick and vacation (holidays are separate). The employees accrue at the same rate, regardless of exemption. Managers accrue at a slightly higher rate.

    The difference comes in the administration of the plan. Hourly employees must use PTO for absences, right down to quarterly hour increments. Exempt employees must use full day amounts, so if an exempt employee comes in for only an hour they will still get paid without using any of the time in their PTO bank. Management feels this is fair since most exempt employees routinely work extra hours without overtime pay.

    Hope this helps.

    Nae

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