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Planning for a Saturday Holiday: July 4, 2026

Posted by Kim Gusman, President & CEO on June 29, 2026

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Cel-e-brate good times, come on….it’s a celebration! The 250 anniversary of the United States Declaration of Independence will be celebrated this year, marking a significant milestone in American history.

Independence Day will be celebrated on Saturday, July 4, 2026, which means California employers should plan ahead for holiday scheduling, pay practices, and communication with employees. Surprisingly, California law does not require employers to give employees paid holidays; however, your policies and past practices absolutely matter.

Holiday Date & Observance

Unlike federal agencies—which may observe the holiday on Friday, July 3—California private employers are free to decide whether to observe the holiday at all, and if you do, you can observe the Fourth of July holiday on:

  • Saturday, July 4
  • Friday, July 3
  • Both days
  • Neither day, if consistent with policy and practice

Check your written holiday policy and any past practice to guide what you must provide.

Scheduling & Overtime Considerations

If employees work on July 4:

  • California does not require premium pay for holiday work unless your policy promises it.
  • Standard overtime rules still apply:
    • Over 8 hours in a day
    • Over 40 hours in a week
    • Over 6 consecutive days in a workweek

If you shift the holiday to Friday, July 3, ensure schedules reflect that change clearly.

Holiday Pay & PTO Issues

California does not mandate paid holidays. However:

  • If your policy provides paid holidays, you must follow it consistently.
  • If you close on July 3 or July 4 and require employees to use PTO, ensure your PTO policy allows it.
  • Exempt employees must receive their full weekly salary if they perform any work during the week, even if the business closes for the holiday.

Communication Tips for Employers

To avoid confusion or wage disputes:

  • Notify employees early about which day your company will observe.
  • Update timekeeping systems to reflect the correct holiday.
  • Remind managers of scheduling and pay rules.
  • Document any temporary changes to normal practices.

Clear communication now prevents headaches later! CEA can help. Members can contact us for more questions.