5.09 / Overtime, Overtime Pay, and Compensatory Time

  1. Initiating authority

    1. The Office of Human Resources and Payroll Office are the initiating authority for this policy.
  2. Purpose

    1. To set forth Universities policy on and provide guidance to Employees and Leadership concerning Overtime, Overtime Pay, and Compensatory Time.
  3. Policy

    1. Statement of Compliance

      It is the policy of the University to compensate Employees in an accurate and timely manner, in accordance with University and Kansas Board of Regents rules, and applicable federal, state, and local laws and regulations, including but not limited to the Fair Labor Standards Act (“FLSA”). This includes appropriately compensating Non-Exempt Employees for Overtime.

    2. Overtime Worked and Advance Authorization Required

      1. When a Non-Exempt Employee works more than forty (40) hours per Workweek, it is considered Overtime. Only hours actually worked are considered Overtime. Hours attributable to paid leave or a holiday within the Workweek are not considered when determining whether an Employee worked Overtime.
      2. A Non-Exempt Employee shall not work Overtime without knowledge and prior approval as set forth below.
      3. If a Non-Exempt Employee is required to work additional time that could result in the Employee working Overtime, Leadership may adjust the Employee’s schedule accordingly (e.g., give the Employee equivalent time-off, on an hour-for-hour basis, in the Workweek in which the additional time is worked), unless such schedule adjustments are prohibited by written agreement, including collective bargaining agreements, between the University and Employee.
      4. If a Non-Exempt Employee works Overtime without the knowledge and prior approval of Leadership, it is the policy of the University that such time must be reported accurately and the Employee must be accurately compensated for such time. However, the Employee may be subject to Corrective Action.
    3. Compensatory Time Provided in Lieu of Overtime Pay

      1. Overtime Pay and Compensatory Time are not available to Exempt Employees.
      2. Generally, Compensatory Time will be authorized instead of Overtime Pay.
      3. Non-Exempt Employees will only be paid Overtime Pay when such pay is approved, in advance, by the Employee’s budget officer. If such approval is not granted, in advance, the Employee will receive Compensatory Time.
    4. Earned Compensatory Time and Overtime Pay

      Compensatory Time and Overtime Pay are each earned at a rate of one and one-half hours for each hour the Employee works over forty (40) hours in a Workweek.

    5. Accrual of Compensatory Time

      No Employee shall accrue more than sixty (60) hours of Compensatory Time. Overtime Pay shall be paid in the event an Employee accrues more than sixty (60) hours of Compensatory Time.

    6. Use of Compensatory Time

      1. Accrued Compensatory Time can be used when an Employee has a Compensatory Time balance and desires to use it in place of other leaves (e.g., vacation leave, sick leave, or discretionary days).
      2. Compensatory Time must be used in one quarter (.25) hour increments on the actual day used. If the Compensatory Time balance is less than one quarter (.25) hour, the Employee should enter hours as needed to exhaust the remainder of any accrued Compensatory Time.
      3. Compensatory Time must be used within a twelve-month period from the time it is accrued.
      4. Employee requests to use accrued Compensatory Time may be denied if granting such request would be unduly disruptive to the University’s operations.
    7. Compensatory Time Pay-Out

      Accrued Compensatory Time shall be paid out at the regular rate earned by the Employee at the time of payment unless otherwise stated below. Accrued Compensatory Time shall be paid out to Employees in the following situations:

      1. If the Employee moves from a Non-Exempt status to an Exempt status.
      2. If the Employee transfers to another position or department within the University and receives a decrease in hourly base rate of pay, accrued Compensatory Time will be paid out at the higher pay rate before the decrease is put into effect.
      3. If the Employee fails to use any accrued Compensatory Time within a twelve-month period from the time it is accrued.
      4. At the time of Employee’s separation from employment with the University. Upon separation of employment, the Employee will be paid for unused, accrued Compensatory Time at a rate not less than the higher of:
        1. The average regular rate received by Employee during the last three (3) years of employment; or
        2. The final regular rate received by Employee.
      5. Upon request of the Employee, if such request is reviewed and approved by Leadership and the Employee’s budget officer.
  4. Definitions

    1. For the purpose of this policy only, the following definitions shall apply:
      1. Compensatory Time: Compensatory Time is paid time off the job which is earned by eligible Employees in lieu of Overtime Pay.
      2. Corrective Action: Corrective Action shall include any type of disciplinary action, including, but not limited to, coaching, corrective action, suspension, and separation, as set forth under University Policy.
      3. Employee: An individual who provides services to the University on a regular basis in exchange for compensation and receives a W-2 for such services. This includes temporary and part-time Employees employed by the University. An “Employee” under this policy does not include any employees employed by a University affiliated corporation.
      4. Leadership: University Department Chairs, Directors, Deans or any other individual designated by the University with authority to supervise an Employee.
      5. Non-Exempt Employee: An Employee that is not exempt from the FLSA’s minimum wage and overtime provisions, as determined by the University pursuant to Policy 5.03 / Classification as Exempt or Non-Exempt.
      6. Overtime: All hours worked, by a Non-Exempt Employee, over forty (40) hours in a Workweek.
      7. Overtime Pay: The amount of pay owed to a Non-Exempt Employee when such Employee works Overtime. Overtime Pay is only owed to a Non-Exempt Employee when such pay is approved, in advance, by the Employee’s budget officer.
      8. University: Wichita State University.
      9. Workweek: The standard Workweek for a full-time Non-Exempt Employees is a total of forty (40) hours during a seven-day period. For purposes of this policy, the Workweek will be the seven-day period beginning Sunday at 12:01 a.m. and ending the following Saturday at midnight.
  5. Administrative Procedure

    1. Authorization for Overtime and Compensatory Time

      Overtime must be approved, in advance, by the Employee’s budget officer, or the budget officer’s designee. Employees should comply with all applicable departmental or divisional procedures for obtaining such authorization.

    2. Reporting Overtime

      Non-Exempt Employees should report through the designated University systems any hours worked over forty (40) hours in the web-based timekeeping system following the same process for entering all other time worked.

    3. Recording Compensatory Time

      Additional guidance for entering Compensatory Time into the web-based timekeeping system is available from Payroll and can be found in the Timekeeping page.

  6. Applicable Laws and Additional Resources

    1. Fair Labor Standards Act (“FLSA”) and interpreting regulations and guidance.
    2. 5.03 / Classification as Exempt or Non-Exempt
    3. 7.07 / Time and Leave Policies
    4. Timekeeping.
  7. Revision Dates

    1. October 3, 2023 (maintenance updates only)