Compensatory Time

Compensatory time is leave credit earned by an exempt or non- exempt employee when hours are worked beyond their regular schedule and not compensated in cash. Compensatory time is generally accrued on a weekly basis. The Commissioner shall establish policy and procedures to include the following: (1) Use of Compensatory Time. The use of compensatory time is subject to the approval of the Appointing Authority or a designated manager in the same manner as annual leave. An employee who has accrued compensatory time and requests use of that time shall be permitted to use such time off within a reasonable period after making the request. When a request for compensatory time off is received, it shall be honored unless to do so would be unduly disruptive to the agency’s operations. Mere inconvenience is an insufficient basis for denial. An agency should reasonably and in good faith anticipate that the employee’s request would impose an unreasonable burden on the agency’s ability to provide services of ATTENDANCE AND LEAVE CHAPTER 1120-06 acceptable quality and quantity for the public during the time requested without the use of the employee’s services. A “reasonable period” shall be determined by considering the customary work practices within the agency based on the facts and circumstances in each case. Such practices include, but are not limited to, the following: (a) The normal schedule of work, (b) Anticipated peak workloads based on past experience, (c) Emergency requirements for staff and services, and (d) The availability of qualified substitute staff. The use of compensatory time in lieu of cash payment for overtime by non-exempt employees shall be pursuant to some form of agreement or understanding between the employer and the employee (or the representative of the employee) reached prior to the performance of the work. (2) Compensatory Time Transferable. An employee’s compensatory time shall be transferred between state service agencies. If an employee in a state service agency transfers to another state agency outside the state service which does not accept the employee’s compensatory time balance, the state service agency shall compensate the transferring employee for the value of the employee’s compensatory time balance. The value of the compensatory time accrued by an exempt employee is calculated based on the employee’s regular hourly rate in the state service agency at the time of transfer. (3) Use of Compensatory Time Before Annual Leave. Accumulated compensatory time shall be used before annual leave unless an employee’s accumulated annual leave balance is within two (2) days of the maximum accrual allowed for the employee as provided in these rules. (4) Payment of Compensatory Time at Separation. Generally, an agency shall make a lump sum payment for accrued compensatory time when an employee separates from state service. If, however, a retiring employee requests terminal leave, that employee shall use accrued compensatory time prior to terminal leave. Terminal leave is the annual leave balance of a retiring employee. Any annual leave balance remaining after the employee’s last working day is considered terminal leave. (5) Amount Earned and Maximum Accumulation. Non-public safety employees who are non- exempt may accumulate a maximum of two hundred and forty (240) hours of premium compensatory overtime. Public safety employees who are non-exempt may accumulate a maximum of four hundred and eighty (480) hours of premium compensatory overtime. Totals for regular and premium compensatory overtime shall be added together and no employee shall be allowed to exceed a total accumulation of both regular and/or premium compensatory overtime over four hundred and eighty (480) hours. Any variation to this maximum accrual limit shall be approved in advance by the Commissioner and the Commissioner of Finance and Administration. Any exempt or non-exempt employee who earns authorized overtime credit in excess of the maximum accrual shall be paid cash for those hours on an hour-for-hour basis unless the Fair Labor Standards Act requires payment at a premium rate. Non-exempt employees are permitted to receive premium (time and one-half) compensatory overtime in lieu of premium cash overtime if the agency lacks the necessary funds or if the employee requests compensatory time instead of cash and the Appointing Authority ATTENDANCE AND LEAVE CHAPTER 1120-06 approves the request. Premium compensatory overtime occurs when a non-exempt employee, who is authorized to receive compensatory overtime in lieu of cash, physically works more than forty hours (40) during a work week. The employee shall be compensated at one and a half times the hours actually worked above forty (40).