She owes you the money. The exposure happened already if it was contagious last week which it probably wasn't. Other rashes tend to only be a few days not the normal 10 of communicable diseases.

You were not closed as in quarentined so there was no reason for the children not to be there. The thursday you took off yes was a personal day to visit family and yes unless you have some paid days for this that would be an unpaid day but that is only one.

My guess is she is looking at the fact she took Wed off to make sure her kid was ok so had to miss 2 days from work and hubby one. Not your problem.