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Compensation (HR-200)

HR-211 Overtime Q&A

1. What is overtime?

Overtime is all hours worked by an employee for the University that is in excess of 40 hours in a workweek (or in excess of the FLSA approved standard for police and certain hospital employees). Hours worked in a workweek will include only hours actually worked.

2. Do unworked holidays or other paid time off count as time worked in computing overtime pay?

No. Only actual hours worked count toward computing overtime.

3. Is shift differential paid on overtime work?

Yes, if the overtime hours are eligible for shift differential. Additionally, an overtime shift differential rate must be paid on those hours.

4. If an employee works over 40 hours in a work week, can he/she receive compensatory time in lieu of pay?

Yes, if the department is authorized to grant compensatory time off and the employee has supervisory approval to take compensatory time in lieu of overtime pay. Note: MU Health Care (Hospitals and Clinics) for purposes of this policy, is a separate organizational unit and thus does not offer compensatory time in lieu of pay.

5. Does work performed on a holiday count toward overtime?

Yes. Per University policy regular staff members required to work on a holiday will receive one and one half times their straight-time wage rate for the hours worked on an official University holiday. In addition, in a work week where the employee works more than 40 hours, the hours worked on the holiday will also count toward the calculation of weekly overtime pay.

6. Does paid time off impact an employee’s pay if it does not count toward overtime?

Paid time off hours are paid at the straight time wage but do not count toward hours worked when calculating overtime. Paid time off includes, but is not limited to, sick leave, vacation, personal days, funeral leave, legal proceedings, voting, etc. For example, if an employee takes 8 hours of paid time off on Monday and works 36 hours the remainder of the week, the employee will receive 44 hours of straight pay but no overtime.

7. Does standby pay count toward overtime?

No. Per policy HR 212 – Call-In/Call-Back, Standby, an employee receives one and one half hours of straight-time pay for each eight (8) hours of standby. (Note: Employees of MU Health Care who are on standby will be paid a flat rate per hour of call). The one and one half hour of pay is not actual hours worked but instead is additional pay for being available in the event the department must call the employee in to work. It is not actual hours worked, therefore it does not count toward overtime. For example, if an employee works 40 hours Monday through Friday and in addition, is on standby eight hours each of those days, the employee will receive 47.5 hours of straight pay but no overtime.

9. Does call pay count toward overtime?

Per policy HR 212 – Call-In/Call Back, Standby, an employee who is called in/called back to work when he/she has not been scheduled will be given a minimum of 3 hours’ work or a minimum of 3 hours’ pay if he/she is given less than 3 hours of work. Any hours actually worked will count toward overtime. Hours paid to reach the 3 hour minimum which are not actually worked will not count toward overtime.

10. Can a manager alter an employee’s schedule to limit overtime?

Management has the discretion to change an employee’s work schedule. Changes in work schedule should be communicated to the employee as far in advance as practical. Schedule changes without advance notice should be due to business requirements and not to limit overtime.

Date Created: 9/26/97

Last Updated: 4/7/17