Overtime Pay Health Care Agency September 2009
Purpose To explain the changes in how overtime is paid.
Overtime Compensation • Overtime is to be calculated based on actual hours worked instead of hours paid during a workweek. Paid non-working hours no longer count towards overtime. • Effective the first pay period following Board adoption • Pay period 17 – July 31, 2009
Fair Labor Standards Act (FLSA) The United States Department of Labor administers FLSA which establishes overtime pay standards affecting employees in the private sector and in Federal, State, and local governments.
FLSA (continued) • Workweek defined under FLSA: • A workweek is 7 consecutive 24-hour periods. • Unless specifically exempted, employees must receive overtime pay for hours worked in excess of 40 hours in a workweek. • Each job classification is designated as either exempt or non-exempt.
Generally Non-exempt classes are: Office Support, non licensed, or paraprofessional classes. For example: Community Health Assistant Laboratory Assistant Licensed Vocational Nurse Go to the Orange County Intranet, click on Job Classifications, click on Title Schematic, look up classification title, scan right to the FLSA column that will show a “N” (non-exempt) or an “E” (exempt). Non-Exempt Employees – 40 hour workweek
Exempt Employees – 80 hour pay period • Generally exempt classes are licensed and/or require higher education. • For example: • Environmental Health Specialist • Public Health Nurse • Clinical Psychologist • Go to Orange County Intranet, click on Job Classifications, click on Title Schematic, look up classification title, scan right to the FLSA column that will show a “N” (non-exempt) or an “E” (exempt). • These exempt job classes require 80 actual hours worked within the pay period to be eligible to receive overtime pay.
Administrative and Executive Managers • Managers are exempt under FLSA and are not eligible for overtime pay. • Other job classes are exempt under FLSA, but under OCEA & County agreement are eligible to receive overtime pay. • Job classes not represented by OCEA, i.e. Eligibility Technicians continue to be paid OT calculated on 40 hours of paid time.
Workweek: Flex & Non-Flex (Exempt employees) • For employees working a 9/80 flex schedule or a 8/80 non-flex, a 4/10, or 3/12 + 8 schedule. • The beginning and end of their workweek shall be 12:01 a.m. on the first Friday of the pay period and concludes the last Thursday of the pay period at 12:00 midnight.
Workweek: Non-Flex schedule (Non-exempt employees) • For employees working a 8/80 non-flex schedule. The employee works two workweeks in a pay period. • The weeks begin at 12:01 a.m. on Friday and conclude the following Thursday at 12:00 midnight. Workweek 2 Workweek 1
Workweek: Flex Schedule (Non-exempt) • For employees working a 9/80 flex schedule, the beginning and end of their workweek shall be the mid-point of their 8 hour day. • Note: the workweek does not coincide with the pay period. * * Workweek 1: begins mid-point of short day Workweek 2: begins mid-point of flex day *For display purposes only. Should be entered as 8 hours on VTI. End of pay period
Workweek Schedules • Each non-exempt employee must have a documented & signed work schedule on file at HCA Human Resources. • While the examples above had the workweeks start on Friday, additional alternate workweek schedules are possible subject to program and HR approval.
NEW New Pay Codes • SOT – Straight Other Time • Used to reflect hours worked outside regularly scheduled days and/or times or when employees post leave hours within a workweek and paid at regular hourly rate. • Not included in calculation of retirement hours. • PW – Poll Worker • Used to reflect hours worked during election day and for poll worker training. Note: The PW pay code is considered productive working hours.
Scenario 1 • A Staff Specialist, an exempt employee, flexes on the 2nd Friday of the pay period. • During the first week of the pay period, the employee worked 4 hours Saturday and worked only 4 hours Monday due to a personal emergency.
Scenario 1 (exempt employee) • RH: actual hours worked. • SOT: hours worked on scheduled day off or at times not normally scheduled. • No OT hours. No hours were worked exceeding 80 pay period hours. • Upon mutual consent (employee & supervisor) the SOT time can offset the AL time & thereby post fewer AL balances.
Scenario 2 • An Office Specialist, a non-exempt employee, works a non-flex schedule. • In the second week of the pay period, the employee only worked 4 hours Friday due to an appointment & worked 6 hours Saturday.
Scenario 2 • RH: actual hours worked. • SOT: hours worked on scheduled day off. • OT: hours worked exceeding workweek hours. • Upon mutual consent (employee & supervisor) the SOT time can offset the AL time & thereby post no AL balances.
Scenario 3 • An Office Assistant, a non-exempt employee, flexes on the 1st Monday. • On the first Friday of the pay period the employee takes the day off for vacation. On the second Saturday of the pay period the employee works 6 hours.
Scenario 3 (non-exempt employee) • RH: actual hours worked. • OT: hours worked on scheduled day off, because the AL day off did not occur during the same workweek that the extra hours were worked.
Scenario 4 • A HCA Program Supervisor, an exempt employee, flexes on the 1st Monday. • On the first Friday of the pay period the employee takes the day off for vacation. On the second Saturday of the pay period the employee works 6 hours.
Scenario 4 (exempt employee) • RH: actual hours worked. • SOT: hours worked on scheduled day off. • No OT hours. No hours were worked exceeding 80 pay period hours. However, the extra hours worked were posted to SOT as they occurred on a day not normally scheduled.
Scenario 5 • An Environmental Health Assistant, a non-exempt employee, flexes on the 2nd Friday of the pay period. • The employee works 4 hours on the second Saturday of the pay period.
Scenario 5 (non-exempt) • RH: actual hours worked. • The employee’s second workweek extends into the next pay period. • Mid-day Friday through Mid-day the following Friday. • A payroll adjustment will be made to reflect overtime worked once the workweek is completed by the employee working the morning through mid-day Friday, the first day of the next pay period. (SOT to OT)
Things to Remember… • Pay periods and workweeks may overlap. • Make-up time must be completed in same workweek (Non-exempt employees). • Make-up time must be completed in the same pay period (Exempt employees). • Reflect actual hours worked on timecard when making up time. • VTI should be updated daily. • VTI submissions are certified and must be accurate. • Share workweek schedules with your backup supervisor.
More Things to Remember… • If non-exempt, define your workweek with your supervisor. • Calculate OT/SOT based on exempt/non-exempt status. • Use the new pay codes correctly. • Hours paid but not included in “actual hours worked.” • AL - Annual Leave. • ALUP – Annual Leave Unplanned. • BRV – Bereavement Leave. • HH – Holiday Leave. • JD – Jury Duty. • LP – Leave with Pay. • LPR – Recognition Leave Pay. • PIPL2 – Non-Cashable Performance Incentive Time.
Questions E-mail or call your Employee Relations Analyst listed below with questions regarding overtime pay. • Jennifer Canzoneri – 834-3434 (MIHS Admin, CONREP, JHS, CMH, CMS, QM, IT) • Karen Hodel – 834-5001 (CYS BHS Admin, Community PH Nursing, Specialized PH Nursing) • Karen Kimball – 796-0314 (Adult Mental Health Services, MHSA, Environment Health) • Debbie Miller – 834-5033 (Human Resources) • Tuoi Tran – 834-6592 (Family Health Division, Disease Control & Epi, PH Lab, HDM) • Paul Wright – 834-4605 (ADAS, PEI, CCS, TUPP, Employee Health, Health Promotion, Public Health Admin, MSI, Director’s Office, HCA Administration)