Indiana University Bloomington Fair Labor Standards Act (FLSA) Overtime Provisions University Human Resource Services August 10, 2015
Agenda Staff/Hourly covered by FLSA Recordkeeping requirements Work Schedule and Overtime Compensation PAO considerations Staff/Hourly with Multiple Positions
Staff/Hourly Covered by FLSA Overtime eligible employees are covered by the FLSA record keeping & overtime provisions –Support Staff –Service Maintenance –Food Service –Hourly –Overtime eligible Professional Staff
Staff/Hourly Covered by FLSA Professional Staff - PAO –Positions do not meet the FLSA overtime exemption Professional Staff - PAU –FLSA salary level test for overtime exemption not met Positions paid < $23,660/year
Compensation Program for Professional Staff Recordkeeping Requirements Every employer must keep complete & accurate records of time worked and time off –Work schedule –Daily/weekly hours
Recordkeeping Requirements Overtime eligible Staff/Hourly responsibility –Complete timesheets daily/weekly –Record time to nearest tenth of hour Managers’ responsibilities –Approve overtime or declare comp time for Staff in advance –Verify hours worked and time-off –Sign timesheet Department responsibility –Keep on file
Work Schedule IU work schedule & policy (not FLSA) –Work week begins and end Saturdays at midnight Overtime compensation (OT) –Hours worked > 40 in a work week –Paid at 1.5 X regular rate or as compensatory time for Staff Supervisor must communicate to employee how OT compensation will be given prior to any OT hours worked
PAO Considerations Overtime compensation for hours > 40 in a week –Pay, or –Comp time (department’s choice) Manager must communicate prior to work Comp Time –Record hours and multiple by 1.5 –Maximum balance 160 hours PTO cannot exceed the amount earned –240 hours (< 5 years with IU) or 288 hours
Staff/Hourly with Multiple Positions Employees who work for multiple departments –Compensated for all hours worked, and –1.5 X regular rate for hours worked > 40
Summary FLSA is a federal law Accurate and timely recordkeeping for all Staff/Hourly is required Overtime compensation for all hours worked over 40 is required for overtime eligible staff