How do we handle pay for an employee out on military leave?
There are two federal laws to consider when managing pay for employees on military leave: the Fair Labor Standards Act (FLSA) and the Uniformed Services Employment and Reemployment Rights Act (USERRA).
According to the FLSA, non-exempt employees only need to be paid for hours actually worked. Exempt employees, however, must receive their full weekly salary if any work is performed during a workweek when they were taking military leave. If an exempt employee doesn’t work at all during a given week, then they do not need to be paid for that week. Employers are allowed to offset an exempt employee’s salary by the amount they receive for military service while on leave.
Under USERRA, employers cannot require employees on military leave to use their paid time off benefits during absences. However, employees can voluntarily elect to use paid time off to cover absences.