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Holiday Pay 5 min read

Is Labor Day Time and a Half? Premium Pay Guide

Labor Day is not automatically time and a half under federal law. Learn which employers offer 1.5x holiday pay and how weekly overtime can still apply.

M. Imtinan Farooq

M. Imtinan Farooq

Data Engineer & Financial Analyst

Published June 30, 2026·Updated Jun 30, 2026

Labor Day itself does not legally require time and a half under federal law for private-sector employees. The Fair Labor Standards Act (FLSA) does not mandate holiday premium pay — there is no federal statute saying is labor day time and a half for every worker. Whether you earn 1.5x on Labor Day depends entirely on your employer's holiday policy, your union contract, or whether working the holiday pushes your total weekly hours past 40.

So does labor day pay time and a half? The short answer is: it can, but it is not guaranteed by law. Many large employers voluntarily offer 1.5x holiday pay as a benefit, while others treat Labor Day as a regular workday. If you work for a company that is open on Labor Day, check your employee handbook or ask your manager whether holiday premium pay applies to your position. Being informed about is labor day paid time and a half at your specific employer is the only way to know for sure what your paycheck will look like.

For hourly workers wondering do i get time and a half on labor day or do we get time and a half for labor day, the answer varies by employer, role, and location. The sections below break down exactly which companies pay the premium, how weekly overtime interacts with the holiday, and what state-specific laws like Massachusetts' unique rules might mean for your pay.

Which companies pay labor day time and a half?

If you are searching for labor day time and a half pay information for a specific retailer or grocer, the table below summarizes the holiday premium policies at the most commonly asked-about employers. Note that policies can change by location or by store — always confirm with your local HR.

CompanyPays 1.5x on Labor Day?Closed on Labor Day?Notes
TargetYesYes — stores closedHourly team members who work receive 1.5x. Is labor day time and a half at target? Yes, for hourly store and DC workers scheduled on the holiday.
StarbucksYesYes — most stores closedLabor day time and a half starbucks partners earn 1.5x if scheduled. Most stores are closed; only select locations or drive-thru may operate.
H-E-BYesNo — stores open regular hoursIs labor day time and a half at heb? Yes — H-E-B pays 1.5x on Labor Day to hourly partners who work their scheduled shift. Labor day time and a half heb is confirmed company policy for Texas and Mexico locations.
AmazonYesNo — warehouses and delivery operateHourly fulfillment and delivery associates earn 1.5x. Holiday premium varies by site and shift.
WalmartYesNo — stores openHourly associates earn 1.5x on Labor Day. Part-time and full-time hourly employees both qualify.
CostcoYesYes — warehouses closedCostco pays 1.5x to hourly employees who work on Labor Day (maintenance, security, or select roles).
KrogerYesNo — stores openHoliday premium pay is typically included in union contracts. Rate varies by local bargaining agreement.
CVSYesNo — stores open regular hoursHourly colleagues earn 1.5x on Labor Day. Pharmacy staff may have different premium structures.
Whole FoodsYesNo — stores openLabor day time and a half whole foods team members earn 1.5x holiday pay. Policy applies to both part-time and full-time hourly employees.

Policies are based on publicly available information as of 2025 and may vary by location, position, and local bargaining agreements.

FLSA weekly overtime on Labor Day

Even if your employer does not offer holiday premium pay, working on Labor Day can still result in time-and-a-half wages through standard FLSA weekly overtime. The FLSA requires employers to pay 1.5x the regular rate for all hours worked beyond 40 in a single workweek. If you already worked 32 hours Monday through Thursday and then work an 8-hour shift on Labor Day, you would hit exactly 40 hours — no overtime. But if you worked 36 hours earlier in the week and work an 8-hour Labor Day shift, those last 4 hours would be paid at 1.5x because your total weekly hours would reach 44.

This distinction matters when searching for labor day time and a half. The overtime you earn is not a holiday premium — it is standard FLSA overtime triggered by the fact that you worked more than 40 hours. Your pay stub may not distinguish between "holiday pay" and "overtime pay," but the legal basis is different. Holiday premium is a voluntary benefit; weekly overtime is a federal requirement for nonexempt employees.

Employers who pay both holiday premium and weekly overtime must be careful about how they calculate the rates. The general rule is that holiday premium pay can be credited toward the overtime obligation, but the specifics depend on the employment agreement and state law.

Worked examples: Labor Day pay at different wage rates

The following examples show how a Labor Day shift affects total weekly pay at three different base rates. Each scenario assumes a 40-hour week with an 8-hour Labor Day shift, comparing the outcome with and without a holiday premium.

Example 1: Hourly employee at $16.00/hr on Labor Day

1Base rate
$16.00/hour
2Holiday rate
$24.00/hour
Math$16.00 × 1.5
3Labor Day shift (8 hrs)
$192.00
Math8 × $24.00
4Regular hours (32 hrs)
$512.00
Math32 × $16.00
Total weekly gross$704.00
Without holiday premium: 32 × $16.00 + 8 × $16.00 = $640.00 — premium adds $64.00

Example 2: Hourly employee at $21.00/hr on Labor Day

1Base rate
$21.00/hour
2Holiday rate
$31.50/hour
Math$21.00 × 1.5
3Labor Day shift (8 hrs)
$252.00
Math8 × $31.50
4Regular hours (32 hrs)
$672.00
Math32 × $21.00
Total weekly gross$924.00
Without holiday premium: 32 × $21.00 + 8 × $21.00 = $840.00 — premium adds $84.00

Example 3: Hourly employee at $28.00/hr on Labor Day

1Base rate
$28.00/hour
2Holiday rate
$42.00/hour
Math$28.00 × 1.5
3Labor Day shift (8 hrs)
$336.00
Math8 × $42.00
4Regular hours (32 hrs)
$896.00
Math32 × $28.00
Total weekly gross$1,232.00
Without holiday premium: 32 × $28.00 + 8 × $28.00 = $1,120.00 — premium adds $112.00

In all three examples, the premium adds between $64 and $112 to the weekly gross. Use the time and a half calculator with your actual rate and hours to get a precise estimate.

Labor Day time and a half Massachusetts — state premium pay laws

Massachusetts has some of the strongest holiday pay protections in the country, which is why labor day time and a half massachusetts is a frequently searched question. Under Massachusetts law (M.G.L. c. 136, ss. 6, 13), most retail establishments are prohibited from opening on certain holidays — but Labor Day is not one of the restricted holidays. However, Massachusetts does have a separate Sunday premium pay law (the "Blue Laws") that requires certain retailers to pay 1.5x to employees who work on Sundays. This Sunday premium can interact with Labor Day when the holiday falls on a Monday and the preceding Sunday also involves work.

More importantly for the labor day time and a half massachusetts query, Massachusetts does not have a general state law requiring holiday premium pay on Labor Day for private-sector workers. The same federal FLSA rules apply: no statutory requirement for 1.5x on the holiday itself. However, union contracts and company policies in Massachusetts commonly include Labor Day as a premium-pay holiday. Additionally, certain Massachusetts retail workers may qualify for overtime under the state's weekly overtime law (which mirrors the FLSA 40-hour threshold) or under industry-specific wage orders.

If you work in Massachusetts and are wondering labor day time and a half massachusetts rules at your specific job, check your employer's posted holiday schedule. Many Massachusetts grocery chains (Stop & Shop, Market Basket, Big Y) are unionized and provide holiday premium pay as a negotiated benefit.

Union contracts and Labor Day premium pay

Unionized workplaces are significantly more likely to guarantee time and a half on Labor Day. Labor Day itself is historically tied to the labor union movement — it was created to celebrate the contributions of workers and their unions. Many collective bargaining agreements (CBAs) therefore include specific provisions for holiday premium pay on Labor Day as a point of principle.

Typical union holiday pay provisions include: 1.5x the base rate for any hours worked on Labor Day, with some contracts requiring 2x (double time) for the holiday. Some CBAs also provide a paid holiday off in addition to the premium rate if the employee is required to work. Grocery workers, manufacturing employees, healthcare professionals, and hospitality workers in union shops are the most common groups covered by these provisions.

If you are a union member and searching is labor day time and a half at your workplace, start by reviewing your CBA. The holiday pay section will state explicitly whether Labor Day is a designated holiday and what the premium rate is. If you are not in a union, your employer's policy is the sole determinant.

Frequently asked questions

Is labor day time and a half at target?

Yes. Target pays time and a half (1.5x) to hourly team members who work on Labor Day. Target stores are closed on Labor Day, but distribution center workers and select store-level staff scheduled for holiday shifts receive the premium rate.

Is labor day time and a half at heb?

Yes. H-E-B pays 1.5x to hourly partners who work on Labor Day. H-E-B stores remain open on Labor Day, so most hourly employees working their scheduled shift will earn holiday premium pay.

Labor day 2024 time and a half — what was the rate?

In 2024, Labor Day fell on Monday, September 2. Employees who worked that day at companies with holiday premium policies received 1.5x their base rate. For workers at Target, Starbucks, H-E-B, Amazon, Walmart, Costco, Kroger, CVS, and Whole Foods, the labor day 2024 time and a half rate was the same standard 1.5x multiplier applied to their hourly wage. There was no change in federal or state law affecting the 2024 rate.

Labor day 2025 time and a half — what changed?

In 2025, Labor Day fell on Monday, September 1. The same federal and state rules applied in 2025 as in 2024 — no new legislation was enacted that would require private employers to pay holiday premium pay on Labor Day. Labor day 2025 time and a half pay remains employer-specific. The only notable change was the adjustment to the FLSA salary threshold for exempt employees, which increased to $58,656 per year as of July 1, 2025. This change affects which salaried workers qualify for overtime but does not directly impact holiday premium pay.

Do I get time and a half on Labor Day if I work remotely?

It depends on your employer's holiday policy, not your work location. Remote hourly employees are treated the same as in-office hourly employees for holiday pay purposes. If your employer offers 1.5x on Labor Day, remote work qualifies. If your employer does not offer holiday premium pay, working remotely does not create an entitlement to it. Check your company's holiday pay policy in the employee handbook.

Calculate your Labor Day pay

Use the time and a half calculator to compare your earnings with and without holiday premium pay. You can enter your base rate, the number of hours you work on Labor Day, and your regular weekly hours to see exactly how much the holiday adds to your paycheck.

Also read: does Target pay time and a half | does Starbucks pay time and a half | does H-E-B pay time and a half | does Amazon pay time and a half | does Walmart pay time and a half | does Costco pay time and a half

Disclaimer: This article is for educational and informational purposes only. Labor Day pay policies vary by employer, location, position, and collective bargaining agreement. Always verify your specific Labor Day pay rate with your manager, HR department, or union representative.

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Last Reviewed: 2026-06-22
Educational Disclaimer

This calculator is for estimation only and is not legal, tax, or payroll advice. Actual wage calculations can vary based on local municipal ordinances, specific collective bargaining agreements, salary docking policies, or custom shift arrangements. Always consult official labor departments or qualified professionals for situation-specific guidance.