Effective Date: 07/01/09
Federal and state laws require that overtime must be paid for certain, but not all, jobs. The Federal law is the Fair Labor Standards Act (FLSA) . The term “exempt” refers to jobs that are excluded from these overtime requirements. This means that employees are not entitled to (or exempt from) overtime pay, regardless of how many hours are worked.
The term “non-exempt” refers to jobs that are not exempt from legal overtime requirements. This means that employees in non-exempt jobs are entitled to overtime pay for all time worked beyond 40* hours in a week.
**For purposes of calculating overtime, see section below titled Calculating Overtime.
In accordance with the FLSA, whether a job is classified as exempt or non-exempt depends on the content of the job. It does not depend on how the employee (or the manager) wants the job classified. Human Resources, along with the Legal department, make the final determination as to whether a job is exempt or non-exempt, based on an evaluation of the job as compared to Federal regulations.
The overtime rate of compensation is 1½ times the regular hourly rate for each hour worked over 40 hours in a workweek. (Example: a non-exempt employee works 4 hours of overtime. He/she must receive 6 hours (4 hours worked at 1.5 the hourly rate) of overtime compensation.) Prior to working beyond the normally scheduled hours, employees are required to get approval from their manager.
In some instances, based on the needs of the department, some overtime may be a condition of employment or continued employment. In other situations, a job's work schedule may be different from the typical Institution workweek so that evening and weekend coverage can be provided without the Institution having to incur the expense of overtime pay. Managers are responsible for informing employees about the needs of the unit and each employee's expected schedule.
Federal and state laws require that staff in non-exempt jobs must be compensated for all the time they work. If an employee works more than 40* hours in a workweek*, he\she will receive additional pay. Georgia Tech defines the workweek as beginning on Thursday at 12:01 a.m. and ending at midnight on the following Wednesday.
Time worked ** up to 40* hours will be paid at a straight time rate; time worked in excess of 40* hours will be compensated at an overtime rate.
Employees who come to work early and begin working prior to the regular start of a shift must record this time on the timesheet in order to be paid. In order to adhere to the budget, managers must inform employees in advance of restrictions on the number of overtime hours worked.
*Exceptions exist for first responders (police officers, sergeants, etc.)
For purposes of calculating overtime, only hours worked will be considered. Vacation, holiday, sick, and other leave times granted by the Institute will not factor into the overtime calculation.
In order to plan work, manage budgets, and track time off, Georgia Tech requires that all managers maintain accurate records of time and attendance for employees in their areas. Employees in non-exempt jobs are required to maintain daily time records.
Managers are responsible for the accurate completion of non-exempt employees completing timesheets properly. Managers should review and sign the timesheets prior to submission to HR. Managers are responsible for keeping an accurate record of work of the hours worked by their employees on a daily basis in accordance with Georgia Tech's record keeping policy. Supervisors\managers are prohibited from instructing or permitting non-exempt employees to work "off the clock" and are subject to disciplinary action, up to and including termination of employment, for violating this policy.
It is the responsibility of the employee's supervisor\manager to approve or disapprove overtime before it is actually worked; however, non-exempt employees must be compensated for all overtime hours worked.
Employees who work overtime without supervisor authorization or fail to report accurately all hours of work are subject to disciplinary action, up to and including termination of employment.
Supervisors may grant compensatory time off instead of overtime pay to non-exempt employees. The choice of compensatory time will be determined in advance through a mutual agreement between the supervisor and employee. Compensatory time is subject to a maximum accumulation of 60 hours and must be exhausted by the end of the succeeding quarter the time is earned.
The policy outlined above applies to all units of the Institute.
Any exceptions to policy must be approved by the AVP of Human Resources. Questions about the policy's administration can be directed to your Human Resources Representative/Contact.
Effective July 24, 2009, the FLSA requires a minimum wage of $7.25 per hour to be paid to all employees covered under the Act.
The Act prohibits the employment of children of certain ages and in certain hazardous occupations. It also establishes certain hours during which children may or may not work.
Date |
Change |
07/01/09 |
Revised and updated the overtime policy language. |