Holidays observed: Overview, definition, and example

What are holidays observed?

Holidays observed refer to the official days that are recognized and celebrated by an organization, government, or culture. These are typically days when work is paused, and employees or individuals participate in traditions, festivities, or observances. Holidays can be national, religious, or cultural, and they are often codified in employment agreements, company policies, or local laws. On holidays observed, many businesses close or operate with reduced hours, and employees may receive paid time off, depending on the policies of the organization.

For example, Christmas, Independence Day, and New Year's Day are common holidays observed in many countries and businesses.

Why are holidays observed important?

Holidays observed are important because they provide employees with time to rest, celebrate cultural or religious traditions, and spend time with family and friends. From an organizational perspective, recognizing holidays ensures that employees feel valued and that they have opportunities for work-life balance. For businesses, understanding which holidays are observed is crucial for planning staffing levels, managing customer expectations, and ensuring compliance with labor laws regarding paid time off.

In addition to offering employees time off, holidays observed are often used to foster company culture and morale, providing an opportunity for businesses to show appreciation for their workers.

Understanding holidays observed through an example

Imagine a company that observes national holidays like Thanksgiving, Christmas, and Labor Day. On these days, the company may close its office, and employees are given paid time off. This allows employees to celebrate with family and take a break from their work responsibilities. The company also ensures that all deadlines and projects are scheduled around these holidays to accommodate the time off.

In another example, a religious organization may observe specific holidays, such as Good Friday or Ramadan, giving their staff time to observe these religious holidays. For a business, knowing which holidays are observed by the community can help in planning events, offering discounts, or accommodating employees who need time off.

An example of a holidays observed clause

Here’s how a holidays observed clause might appear in an employee handbook:

"The Company observes the following holidays: New Year’s Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day. Employees are entitled to paid time off for these holidays. In the event the Company operates on any of these days, employees may be required to work and will be compensated according to the Company’s holiday pay policy."

Conclusion

Holidays observed are key to promoting a healthy work-life balance, fostering employee morale, and ensuring cultural or legal compliance. By recognizing and honoring holidays, businesses show that they value their employees’ well-being, and they also help ensure smooth operations by planning work schedules around these holidays. Understanding which holidays are observed and planning accordingly is essential for both employee satisfaction and business operations.


This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.