4. Overtime/Compensatory Time

Overtime and compensatory time are managed differently for employees who are in exempt and non-exempt positions as defined by the Fair Labor Standards Act (FLSA).

• Employees in exempt positions are not paid for overtime or given compensatory time.

NON-EXEMPT POSITIONS:

• Provided with overtime pay or compensatory time-off for hours worked over 40 in a workweek.
• Workweek begins at 12:01 a.m. Saturday and ends at midnight the following Friday.
• Time absent from the job for vacation, holiday, sick, or other paid leave is not counted as time worked for the purpose of computing overtime hours.
• Compensation for hours worked over 40 in a workweek may either be given as overtime pay or as compensatory time off.
  • Both overtime pay and compensatory time off are given at the rate of time and one-half of the regular rate for every overtime hour worked.
  • Employees in non-exempt positions must obtain the supervisor’s approval prior to working overtime.
  • Employees who work overtime without the supervisor’s approval must be paid for hours worked, but may be subject to disciplinary action, pursuant to Policy and Procedures 2-9.

• Overtime Pay
• The employee should expect to receive overtime pay for hours worked over 40 in a workweek.
• A supervisor may offer compensatory time off in lieu of overtime pay. However, the employee has the right to accept or decline compensatory time and receive pay at time and one-half. If compensatory time is acceptable to the employee, then the supervisor must ask the employee to sign a Compensatory Time Agreement.
• Compensatory Time
• Compensatory time is recorded in the time and attendance system as it is accrued and as it is taken.
• Actual hours worked and compensatory time taken must be documented.
• The maximum compensatory time that can be accrued is 240 hours. If a non-exempt employee achieves the maximum accrual, resigns, retires, or is discharged at a time when he or she has a balance of unused compensatory time off, the employee will be paid for the unused compensatory time. Payment will be calculated using the current regular rate.

• Deans, Directors, Department Heads and Supervisors




Responsible for making sure new employees understand whether their positions are non-exempt or exempt.

Responsible for discussing overtime pay versus compensatory time with the employee and obtaining employee agreement for compensatory time.



• Human Resources

Responsible for determining the exemption status of each position using the guidelines given in the Fair Labor Standards Act.

• Employees in Exempt Positions

Responsible for fulfilling the responsibilities of their jobs regardless of hours worked.

• Employees in Non-exempt Positions

Responsible for accurately recording work hours, obtaining supervisor’s approval prior to working overtime, and cooperating with overtime work needs.