The holiday season brings joy, festivities, and a well-deserved break for many. However, for some businesses especially those in essential services, hospitality, or retail, it can mean employees working through the Christmas period. As an employer, ensuring employees are paid correctly during this period is essential as well as being a legal obligation. The following is iPayroll’s holiday payroll checklist to assist with smooth payroll processing over the upcoming holiday period:
Employment contracts
It is crucial to understand the terms outlined in employee's contracts which could include holiday pay rates, overtime and any special conditions that apply during the holiday season.
Public holiday pay rates
Christmas day and other public holidays come with special pay rates. It is important to know when public holidays are to be observed because employees are eligible for different entitlements on these days.
Overtime and additional hours
The holiday season can bring large workloads meaning employees may be required to work additional hours. Be aware of overtime regulations and ensure that employees are compensated accordingly for any extra time worked. Ensure employees are also aware of these as clear communication about expectations and compensation can help prevent misunderstandings.
Record keeping
Maintain accurate records of employees working hours, pay rates and additional compensation provided during the holiday period.
Processing advance pay runs
Companies may take the opportunity of shutting down over the holiday period. iPayroll allows future pays to be processed in advance and then paid on a future date. Close in advance allows employers to close off their currently confirmed payroll and open a new payroll up. The payroll administrator will be able to close payroll in advance themselves via their confirm screen and then open a new pay run.
Correct pay for employees over the holiday period is a critical business function. By understanding and meeting your responsibilities as an employer you can ensure efficient payroll processing over the holiday period.
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