October 21, 2009
A non-exempt employee who works in excess of eight hours in a workday or 40 hours in a workweek must receive overtime compensation. Hours eligible for overtime compensation differ for non-exempt staff employees working under an approved alternative work schedule. Exempt staff employees are excluded from receiving compensation for any additional time worked. Where labor contracts provide special provisions, the labor contract language applies. Supervisors are responsible for ensuring that overtime is approved in advance of time worked and that the time is properly recorded.
Compensation is calculated at the regular hourly rate for all time worked up to eight hours during a given workday, up to 40 hours in a work week. Regular hours include both scheduled hours and additional straight time hours up to eight hours a day.
The overtime rate of 1.5 times the staff employee’s regular hourly rate is paid for the time worked in excess of eight hours in a workday or 40 hours in a workweek. A double time rate of two times the staff employee’s regular hourly rate is paid for time worked in excess of 12 hours in a workday. In cases where both an overtime rate and a double time rate apply to the same hours, the university will pay the higher rate but not both. Overtime pay is required for hours worked on the seventh consecutive day worked in a work week, and pay at the double time rate is required for all hours worked over eight hours on the seventh day worked in a workweek. Regular, overtime, and double time hours are reported and paid rounded to the nearest one-tenth of an hour. Hours paid but not worked during a day do not count for purposes of determining overtime or double time payments (e.g., sick leave, vacation, holidays).
For hours worked on a university holiday, the staff employee will be paid 7.5 or 8 hours (depending on the employee’s normal workday) of holiday pay and the appropriate rate of pay for the actual hours worked. Some on-call time and standby time must be treated as hours worked for purposes of computing overtime and double time.
Human Resources Administration
Todd R. Dickey, Senior Vice President, Administration
University of Southern California