Changes to Compensatory Time

Leader Talking Points

Changes to Exempt Employees Compensatory Time, Worked Holiday and Veterans Day Holiday

There are five changes taking place that leaders and exempt employees need to be aware of:

1. Compensatory Time (Comp Time) will be transitioning to Worked Holiday for any holidays, except for Veterans Day, which occur after the pay period beginning on 2/23/2020.
2. Comp Time for exempt employees will no longer be available after 2/23/2020.
3. On the pay period that begins on 2/9/2020 (paycheck date of 3/6/2020), any balances remaining in an exempt employee’s Comp Time or Veterans Holiday will be paid out in full.
4. After 2/23/2020, WSU will no longer payout balances in Worked Holiday and Veterans Holiday upon separation, retirement or if an exempt employee transitions to a non-exempt position.  
5. After 2/23/2020, any balances in the Worked Holiday and Veterans Holiday will be cleared or decremented to zero (0) on an annual basis at the end of the fiscal year.

Which exempt employees are impacted by this change?

All benefit-eligible exempt employees, excluding 9/10 month faculty.  

Why are the changes occurring? 

• WSU encourages employees to seek and maintain a healthy work/life balance. Taking time off from work on designated holidays is one way of supporting this balance.
• KBOR guidelines further promote the idea of work/life balance by indicating that if an exempt employee is required to work a designated holiday, time off should be afforded to the employee in the future.
• WSU makes every effort to ensure consistent, equitable and impartial rules in accordance with Department of Labor regulations.

How can I support my exempt employees during this transition? 

• Please read/review the exempt employee FAQ document posted on the HR website.
• Listen to the employee’s concerns, on an individual basis.
• If you are not sure how to address an employee’s concern(s), or you feel the employee will need additional support to be able to successfully transition, please reach out to your HR Business Partner for guidance/support.
• If the employee has questions related to the actual transition process (timing) that are not addressed in the FAQ’s, please have them contact Human Resources at HR.ServiceCenter@wichita.edu .
• Encourage employees to use balances in their Comp Time and Veterans Holiday that they do not wish to be paid out on the 3/6/2020 pay check.
• Set clear expectations with employees related to gaining approval to work a designated holiday prior to actual holiday.
• Ask questions to understand why the employee is requesting to work on the holiday (Is there a project or other deadline looming or maybe they are carrying additional work for a co-worker that has left or is on leave).
• After gaining an understanding of the situation, help the employee navigate alternatives to working the designated holiday.
• If there are not alternatives, follow-up with the employee to ensure they take time off promptly after the designated holiday.

Additional Information

If exempt employees have questions regarding completing their leave report, please e-mail the Financial Operations Payroll Team at timekeeping@wichita.edu. 

• If exempt employees have questions not covered in the FAQ document, please have them e-mail HR at HR.ServiceCenter@wichita.edu.

Changes to Compensatory Time for Non-Exempt Employees

Leader accountability to ensure a smooth transition:

• Please read/review the below information, as well as the non-exempt employee FAQ document posted on the HR website.
• Listen to the employee’s concerns, on an individual basis.
• If you are not sure how to address an employee’s concern(s), or you feel the employee will need additional support to be able to successfully transition, please reach out to your HR Business Partner for guidance/support.
• If the employee has questions related to the actual transition process (timing) that are not addressed in the FAQ’s, please have them contact Human Resources at ServiceCenter@wichita.edu .
• Establish weekly schedules and let employees know what your expectations are regarding working more than their scheduled hours.
• Set clear expectations with employees related to what approvals are needed and when they are needed related to the use of Compensatory Time and/or overtime in their current role.
• Ensure employees understand that timesheets must be an accurate reflection of the time worked for each day of the week within a pay period.
• Not recording time worked, is not an option. All time worked should be accurately recorded, on the day it is worked.
• To accurately capture worked time, encourage employees to record their time worked on a daily basis.

What is changing, when and why it is changing:

FLSA sets standard that all hours worked in excess of 40 during each workweek must be compensated at the rate of one and one-half times the employee’s regular rate.  Unlike private employers, it specifies that Federal, State, and Local government employers may use compensatory time in lieu of paid overtime as long as it is in accordance with rules:

• No more than 240 cumulative compensatory time hours
• Must be paid at the rate it is earned
• Must be paid if not used within one year of earning (rolling 12 months)
• Must be paid out if a non-exempt employee moves to an exempt position
• Employers have to ensure administration of rules is fair and consistent

WSU will begin to make changes to how Compensatory Time is administered in July of 2019 and in February of 2020. These changes will focus on ensuring WSU is administering Compensatory Time in accordance with the rules established by the Fair Labor Standards Act (FLSA) rules which govern the use of compensatory time.

The changes to Compensatory Time are for non-exempt employees at this time. Changes to the administration of exempt staff Compensatory Time balances are still under review and will be announced in the coming weeks.

The changes are being done in two phases based on input from employees and leaders who said a longer timeline to adjust to the changes and allow plans to manage the changes was preferable. Not making changes until after summer break and the 2019 Holiday shut-down were two primary feedback points provided.

There are three changes taking place, beginning in July 2019

1. If an employee moves from a non-exempt position to an exempt position, their Compensatory Time balances will be paid out in full in the same pay period in which the change takes place.
2. If an employee transfers from one non-exempt position to another non-exempt position within the University, and their hourly base rate of pay remains the same or greater, the Compensatory Time balance will transfer with the employee to the new position/department. (As long as the position is eligible for Compensatory Time.)
3. If an employee in a non-exempt position receives a decrease in their hourly base rate of pay, their Compensatory Time balance will be paid out at the pay rate prior to when the decrease is applied. The pay out of Compensatory Time will take place in the same pay period in which the change takes place.

There are three changes taking place, beginning in February 2020:

1. Compensatory Time balances that were accrued more than one year ago will be reduced in February and paid out on March 6th, 2020. In some cases, this will reduce the employee’s Compensatory Time balance below 60 hours.
2. Compensatory Time balances that exceed 60 hours, regardless of when earned, will be reduced in February, and paid out on March 6th, 2020. In addition, the maximum allowed Compensatory Time balance will be capped at 60 hours.
3. After the payout in March, WSU will implement a process to pay out any Compensatory Time balances that have been accrued but not used within one year. The review and payout of Compensatory Time balances will occur each pay period.

Changes are being phased in over time. This is based on feedback from employees and leaders, the University has chosen to manage this transition in a phased approach to ensure staff retain Compensatory Time to use for preplanned events such as summer time off and the 2019 holiday shutdown. In addition, the phased approach allows leaders time to consider how to manage future staff, budget, and scheduling needs since Compensatory Time balances maximums will be reduced to 60 hours in February of 2020.

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