Federal holiday closings a tricky decision for small business owners

At Saturn Coffee in Detroit's Midtown, Labor Day looked a lot like any other Monday: Coffee brewing, customers coming in, and baristas behind the counter.

For co-owner Sarah Welch, the decision on opening the doors on the holiday wasn't about whether the business could afford to close for a day.

"Some weekend days are a lot busier, that might cover our overhead for a couple days at a time, so yes, we could. Again, it's just the consistency and also being able to provide a consistent paycheck to employees, too," said Welch.

That answer complicates a question many customers may never have to consider: What does it take for a small business to stay open on a holiday meant to celebrate its workers?

At Saturn, Welch says she and her husband assume they'll work the holiday first.

Employees are then asked whether they're available and want to work.

"I would never ask an employee to do something that I wouldn't do. So, we assume that we're working, and then we'll ask employees if they're available and want to work as well," said Welch.

Welch says Saturn does not offer premium holiday pay, though tips tend to be higher on holidays, and labor costs are among the biggest expenses she has to consider.

"Labor is definitely the most expensive part of running a business, right? Being able to pay people consistently and people management too, just staffing them, making sure everyone's being paid fairly and what they deserve to," said Welch.

The latest state labor data show Michigan's unemployment rate fell to 4.9 percent in July, but the state's labor force also shrank by about 29,000 people. In Metro Detroit, the seasonally adjusted unemployment rate was 5.3 percent.

For Welch, keeping good workers means thinking about more than the hours on a schedule. She says they try to honor requested time off, check in with employees, and make sure they're not burning out.

"We want to keep them happy, and we're happy to have them too, in order to have your baristas be their friendly, silly selves, they need some days of rest too," said Welch.

On a day dedicated to workers, Welch says she hopes customers remember the people serving them are also their neighbors.

"A position where someone is a barista may be very transactional, just like a 10-minute portion of your everyday life. But your baristas are so much more than that. They're the sweetest, kindest people, and I'm thankful for them every day," said Welch.