Paid Time-Off From Work Chapter 8 Paid Time-Off From Work McGraw-Hill/Irwin Copyright © 2006 The McGraw-Hill Companies, Inc. All rights reserved.

UNION BARGAINING Jury Duty Funeral Leave Military Leave Clean-Up Time Preparation Time Travel Time Rest Periods

PAID TIME - OFF BENEFITS In 2004 $1.66 Per Hour / Per Employee 6.7% of Total Compensation Military Leave, Least Common 12 Federal Holidays

OVERTIME PAY ELIGIBILITY Department of Labor’s Fair Play Rules Workers Earning Less than $23,660 Per Year, or $455 a Week About 6.7 Million American Workers 1.3 Million Low Wage Workers Police Officers Firefighters Paramedics Nurses

PAID TIME - OFF Holidays Vacation Sick Leave Personal Days Integrated Paid Time - Off Policies Bereavement / Funeral Leave Jury Duty Military Leave

FEDERAL HOLIDAYS New Years Day M. L. King Jr. Birthday Washington’s Birthday Memorial Day Independence Day Labor Day Columbus Day Veterans Day Thanksgiving Christmas

VACATION POLICY CONSIDERATIONS Investment or Expense ? Who is Eligible ? How Many Days Per Service Time ? One - Plan - Fits - All or Separate ? Use Calendar or Fiscal Year ? How Many at Once, and When?

UNUSED VACATION Carryover Provision Cashout Provision Unused Days Added to Following Year or “Use It or Lose It Provision” Cashout Provision Cash for Unused Days

VACATION REGULATIONS Private Sector Not Regulated Benefits Taxed when Used Employers Pay FICA and FUTA Benefits Deducted as Business Expenses Multiemployer Plans Subject to ERISA

PERSONAL LEAVE Reasons for Time - Off Vary Usually Short - Term Can Extend Vacations, Sick Leave May be Subject to Carryover, Cashout Benefits Taxed as Income Employers Pay FICA and FUTA Usually 1 - 10 Days

BEREAVEMENT / FUNERAL LEAVE Specifies Whose Death Qualifies Generally for Immediate Family Employers Set Number of Days IRS Treats Benefits as Income Employers Pay FICA and FUTA Can be Deducted as Business Expense

JURY DUTY AND WITNESS DUTY LEAVE Jury Duty Guided by Government Regulations Unfavorable Treatment Prohibited Violations Subject to Fines FLSA Guidelines IRS Treats Benefits as Income Employers Pay FICA and FUTA

MILITARY LEAVE RETURN TO WORK POLICIES Governed by USERRA of 1994 Service of 1 - 30 Days: Report Following Day Service OF 31 - 180 Days: Report within 10 Working Days Service 181 Days - 5 Years: Report within 90 Days Disability: Report within 2 Years

MILITARY LEAVE EMPLOYERS’ OBLIGATIONS Service of 1 - 90 Days: Employee Reinstated to Same or Similar Job Service of 90 + Days: Employee Reinstated to Same or Similar Job with Seniority and Pay Grade as if Leave not Granted

ON - CALL TIME Time Spent During Off - Duty Time when Employee Might be Called Personal Activities Restricted Can be Mandated to Nonexempt Employees Governed by FLSA Regulations Paid if not Called?

FAMILY AND MEDICAL LEAVE ACT Leave Generally Unpaid Employed at Least 20 Weeks Allowed 12 Workweeks within 12 Months Both Spouses in Same Company Get Combined 12 Weeks Health Coverage Still Effective