Paying Weather Affected Employees

With rain, snow and wind creating havoc around the country, the question of an employee’s entitlement to be paid if they can’t go to work is a frequent one.

As with most employment related questions the first place to start is the Employment Agreement, as there may be a term that affects the answer.

Fundamentally an employer is required to pay an employee who is ready, willing and able to work. In other words if the Employment Agreement states you will offer 40 hours of work per week, if you are unable to provide the work, you are still obliged to pay the employee.

However if the business is open and operating, but the employee is unable to get to work because of blocked roads, damage at home or having to look after the children because the schools are closed, the obligations are different.

It would be reasonable in these circumstances for the employer to advise the employee that if they want to be paid they will need to take an annual leave day. There are alternatives to this that should also be considered. For example can the employee work from home or another location, or can the hours be worked at another time? Communication is key, as is prior planning. Ensure you have contact lists for employees, disaster recovery and business continuity plans that cover alternative working environments, and make sure your employees know what the plans are and their part in them.

A ‘force majeure’ clause in an Employment Agreement can limit the employer’s requirement to continue to pay employees when disaster strikes. You may want to consider such a clause for your Agreements.