University of Arkansas at Little Rock
Policy Name: Overtime/Compensatory Time for Classified Employees
Policy Number: LR 402.44
Effective Date: December 16, 2014
Classified, non-exempt employees are eligible for compensatory time, as outlined by the State of Arkansas, in accordance with the Fair Labor Standards Act.
Compensatory time is defined as time earned for work performed in excess of forty (40) hours in the work week, with supervisor’s prior authorization. Compensatory time is the most desirable method of compensation for overtime work. However, overtime payments may be provided if it is necessary for the continued effective operations of the university and is managed in the most efficient and economic manner possible.
The following policy will be used in granting compensatory time:
- Compensatory time will be earned at the rate of one and one-half hours for each full hour worked in excess of forty (40) hours per work week. Otherwise, classified employees may earn straight time (1.0) for any hours resulting in excess of forty (40) hours when a holiday or any leave taken is included in the work week.
- Compensatory time may not be earned in less than fifteen (15) minute increments and must be earned before it can be used.
- When an employee uses or is paid for earned compensatory time, he or she shall be paid at his or her current rate of pay.
- Compensatory time may be used in lieu of sick leave.
- Compensatory time must be depleted before using annual leave.
- Classified employees whose job duties do not involve public safety, emergency response, or seasonal activity may accrue no more than 240 hours of compensatory time per calendar year.
- Classified employees whose job duties involve public safety, emergency response, or seasonal activity may accrue no more than 480 hours of compensatory time per calendar year.
- If an employee exceeds the maximum established, they must be compensated in cash payment for any hours in excess of the 240/480 limit on the January 31 payroll.
Payout at Termination or Transfer
Upon termination from employment, the employee is to receive a cash payment at a rate not less than the final regular rate of pay received by an employee for any compensatory time accrued that has not been used.
When an employee transfers from one state agency or institution of higher education to another, the original state agency or institution of higher education where the employee accrued the compensatory time will pay the employee the balance of their compensatory time in a lump sum payment before transferring to the new agency or institution of higher education.
Source: Compensatory Time – OPM Policy 40.01; Annual Leave – OPM Policy 50.01; Federal Fair Labor Standards Act, Part 778
Revised: May 24, 1996; May 17, 2000; December 16, 2014
Approved by: Chancellor Joel E. Anderson, December 16, 2014
Custodian: Office of Finance and Administration