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Questions and answers, what is compensatory time off for travel.

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Special compensatory time off for travel.

This program allows employees to accrue compensatory time off for time spent by an employee in a travel status away from the employee’s official duty station when such time is not otherwise compensable. The travel must be officially authorized for work purposes and approved by an authorized official. 

An employee as defined in Title 5 U.S.C. 5541(2), who is employed in an “Executive Agency,” as defined in 5 U.S.C. 105, ) is entitled to earn and use compensatory time off for travel regardless of whether the employee is exempt or non-exempt from the Fair Labor Standards Act (FLSA). Coverage includes employees in Senior Level (SL) and Scientific of Professional (ST) positions, Federal Wage System (or Wage Grade, WG), and commissioned (tenured) Foreign Service Officers (in pay plan FO) and Commissioned Foreign Service Officers (in pay plan FO). 

Senior Executive Service members and intermittent employees (who do not have a scheduled tour of duty for leave purposes) are excluded from coverage.

Effective Dates of Coverage

Final regulations implementing compensatory time off for travel for most employees was effective May 17, 2007. Coverage for WG employees was effective April 27, 2008. Coverage for Foreign Service Officers (in pay plan FO) and Commissioned Foreign Service Officers (in pay plan FO) was effective June 8, 2006. 

Creditable Travel Time 

Time in a travel status includes the time the employee spends traveling between the official duty station and a temporary duty station (or the lodging in the temporary duty station) or between two temporary duty stations (or the lodging in the temporary duty station) and the “usual waiting time” that precedes or interrupts such travel. 

“Usual waiting time” is the time required to arrive at the airport (or other transportation hub) for security checks-ins, etc., prior to a designated departure time. 

Time spent at an intervening airport (or transportation hub) waiting for a connecting flight also is creditable time.

In the Department, “usual waiting time” is 2 hours for domestic travel and up to 4 hours for international travel. 

Non-Creditable Travel Time 

The following do not qualify as creditable time:

  • Unusually long or extended waiting periods that occur prior to an employee’s initial departure time or between actual periods of travel if the employee is free to rest, sleep, or otherwise use the time for his/her own purposes;
  • Long waiting periods that occur during an employee's regular scheduled working hours; these periods are compensable as part of the employee's regularly scheduled administrative workweek;
  • Time spent traveling outside of an employee’s regular working hours to or from a transportation terminal that are within the limits of the employee’s official duty station;
  • Time spent traveling in connection with the performance of union representational activities;
  • Time spent traveling on a holiday or an “in-lieu-of” holiday; the employee is entitled to his or her rate of basic pay for the holiday hours; and
  • Time spent at a temporary duty station between arrival and departure times; and
  • Meal times. 

Once an employee arrives at the temporary duty station (i.e., TDY work site, training site, or hotel at the temporary duty station), the employee is no longer considered to be in a travel status. Any time spent at a temporary duty station between arrival and departure is not creditable for earning compensatory time off for travel. 

Offsetting Normal Commuting Time

When an employee travels directly between the home and a temporary duty station that is outside the limits of the employee's official duty station, the employee's normal “home-to-work/work-to-home” commuting time must be deducted from the creditable travel time. 

Normal commuting time must also be deducted from the creditable travel time if the employee is required to travel outside of regular working hours between the home and a transportation hub outside the limits of the employee's official duty station.

Travel between Multiple Time Zones 

When an employee’s travel involves two or more time zones, the time zone from the point of first departure must be used to determine travel status for accruing compensatory time off. For example, if an employee travels from his official duty station in Washington, DC, to a temporary duty station in Boulder, CO, the Washington, DC, time zone must be used to determine hours in a travel status. However, on the return trip to Washington, DC, the time zone from Boulder, CO, must be used to determine hours in a travel status 

Timeframes for Use

An employee must use accrued compensatory time off by the end of the 26th pay period after the pay period during which it was earned and reported on the webTA. 

All compensatory time off for travel must be used in the chronological order in which it was earned; that is, time earned first is used first. 

Forfeiture of Unused Hours

Accumulated compensatory time that is unused by the end of the 26th pay period after the pay period in which it was earned is forfeited. Unused balances are also forfeited when an employee voluntarily transfers to another agency or separates from Federal service. Forfeited hours may not be paid or restored. 

When an employee fails to use accumulated compensatory time balances within the required timeframe due to an exigency of the public service beyond the employee’s control, the time limit for using the hours may be extended for up to an additional 26 pay periods. Additional extensions are not authorized and forfeited hours may not be restored. 

Exceptions to Forfeiture of Unused Hours

Unused compensatory time off for travel must be held in abeyance for an employee who separates, or is placed in a leave without pay (LWOP) status, and later returns:

  • To perform service in the uniformed services (see 38 U.S.C. § 4303 and 5 CFR § 353.102) with restoration rights; and 
  • Due to an on-the-job injury with entitlement to injury compensation under 5 U.S.C. Chapter 81. 

In these cases, the employee must use all of the compensatory time off for travel held in abeyance by the end of the 26th pay period following the pay period in which he/she returns to duty, or the compensatory time off will be forfeited. 

Biweekly Salary Limitation and Aggregate Limitation on Pay

Compensatory time off for travel is not considered in applying the bi-weekly pay cap under 5 U.S.C. 5547 or the aggregate limitation on pay under 5 U.S.C.507. 

Alternate Mode of Transportation

When an employee is allowed to use an alternate mode of transportation, or travels at a time/route other than what is initially approved by the authorizing official, creditable time for travel status must be estimated. The estimate is based on the amount of time the employee would have had if the mode of transportation or the time/route initially approved by the authorizing official was used. In determining the estimated amount of creditable time for travel that an employee would have had, the employee will be credited with the lesser of the:

  • Estimated time in a travel status the employee would have had if the employee had traveled at the initially approved time, or
  • Employee's actual time in a travel status at a time other than that initially approved.

Applying for Compensatory Time off for Travel

Employee must officially request the earning of compensatory time prior to the actual travel or within 10 calendar days of termination of the travel. The request may be submitted via the webTA Leave and Premium Pay Request functionality, Commerce Department Form CD-81, “Authorization for Paid Overtime and/or Holiday Work, and for Compensatory Overtime”, electronic mail, or memorandum. The request should estimate the number of hours the employee expects to earn. Upon the employee’s return from travel, the employee must provide a chronological record of travel information including:

  • Duration of the normal home-to-work commute;
  • Time and place of departure (i.e., the employee’s home or official duty station);
  • Actual time spent traveling to and from the transportation terminal if the terminal is outside of the employee’s official duty station;
  • Usual waiting time; and
  • Time of arrival at and departure from the temporary duty station. 

Earning Limitations 

There is no limit on the amount of compensatory time for travel that may be earned. 

Using Compensatory Time off for Travel 

Compensatory time off for travel is credited and used in 15 minute increments with the compensatory time off for travel earned first being charged first. Additional leave will be charged in corresponding units. Employees must request permission from their supervisor or leave approving official to schedule the use of accrued compensatory time off via the webTA Leave and Premium Pay Request functionality, a SF-71, Application for Leave, or Form OPM-71, Request for Leave or Approved Absence. 

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What is compensatory time off, or comp time off.

Last Updated: February 17, 2022 | Read Time: 7 min

One Minute Takeaway

  • Compensatory time is a legal term that refers to an arrangement by which employees take time off instead of receiving overtime pay.
  • Under most conditions covered by the FLSA, it’s illegal to offer comp time in the private sector.
  • Personal days and flex time are more important to employees than ever.

HR leaders are looking for ways to recruit, reward, and engage employees without breaking the bank. Offering employees comp time, additional time off or flexible schedules, are some ways to do that. However, changes to scheduling, compensation plans, or benefits must follow applicable laws to ensure employees are treated fairly. To help you understand comp time, we’ve pulled together a few quick facts and watchouts as well as other ways to reward workers with time off.

What is Compensatory Time (Comp Time) and Who is Eligible?

In some instances, employees who have worked more than 40 hours in a work week can earn compensatory time or comp time in place of overtime pay. Comp time is most often used in the public sector by state and federal agencies to reimburse covered nonexempt or hourly employees for overtime under the Fair Labor Standards Act (FLSA).  

As a reminder, exempt employees are typically salaried employees exempt from the overtime provisions of the FLSA and include executives, professionals, or outside sales employees. Nonexempt employees are typically hourly employees and entitled to overtime pay when they work more than 40 hours in a workweek. 

Under most conditions covered by the FLSA, it would be illegal to offer comp time in the private sector.

Nonexempt or hourly employees who work more than 40 hours a week must receive overtime pay at a rate not less than time and a half their regular rate. Even if the employee would prefer time off, you’re still obligated to pay them. So, under what conditions can you offer comp time? Let’s find out.

What are the Rules for Comp Time?

The main guidelines that employers need to follow to replace overtime with compensatory time include:

  • Paying hourly rate times one and a half hours for every hour of overtime worked
  • Following union agreements about compensatory time policies
  • Developing terms of compensatory time and ensuring that they are followed before crediting payroll
  • Ensuring compensatory time is taken in the same pay period as overtime hours
Nearly 30% of business owners are in legal jeopardy from providing comp time to nonexempt employees.

Don’t Call it Comp Time

It’s important to note that compensatory time is a legal term. It applies to the public sector and is defined as a nonexempt method of noncash payment for overtime under the FLSA. If you are rewarding employees with time off, you may want to use another name such as personal days or flexible time off.

Personal Days

The FSLA does not require payment for time not worked, such as personal leave, vacations, sick leave, or federal or other holidays. If a company offers personal days above and beyond the employment agreement, employers should avoid hour-for-hour time off.

Flexible Work Schedules

According to an American Time Use Surveyconducted pre-COVID by the Bureau of Labor Statistics, 57% of wage and regular salary workers were allowed to use a flexible work schedule that varies arrival and departure times or gives them the freedom to choose their work hours. Depending on the company’s compensatory time policy, employees work a prescribed number of hours per pay period and may need to be present during certain times of the day. For some roles and remote work situations, employees have the flexibility to create their own work arrangement even though they work the same number of hours as a traditional schedule.

A well-implemented flex time policy addresses concerns proactively, manages productivity and staffing, keeps expectations transparent, and creates accountability for employees and management. It also helps build goodwill when employees meet deadlines, achieve goals, and earn trust.

Benefits of Personal Days & Flex Time Programs

Personal days and flex time are highly desirable perks in a tight labor market. These policies can help employees find more work/life balance, but they also help with less aspirational, more everyday challenges, like finding time to (finally) go to the dentist, get to the BMV, navigate parenting/co-parenting needs, etc. 

Schedule Management Programs & Compliance

Besides legal and regulatory compliance issues, 41% of CEOs say labor cost is the most important metric organizations should monitor and measure. The first step towards monitoring, measuring, and predicting labor cost trends is to automate and use time and attendance management software. Paycor Time allows HR leaders to collect and monitor employee hours and review overtime spend by department, manager, location and more. 

Paycor offers a single source of truth for all employee data; you will never have to switch platforms, log in to multiple systems, re-key information, or open multiple spreadsheets. Paycor allows you to focus on talent acquisition, employee engagement, developing your people and being a more strategic leader.

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Workplace celebrations don’t just lower turnover – they can also boost revenue. Find out how HR can impact this with these 10 recommendations.

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Travel Time

Time spent traveling during normal work hours is considered compensable work time. Time spent in home-to-work travel by an employee in an employer-provided vehicle, or in activities performed by an employee that are incidental to the use of the vehicle for commuting, generally is not "hours worked" and, therefore, does not have to be paid. This provision applies only if the travel is within the normal commuting area for the employer's business and the use of the vehicle is subject to an agreement between the employer and the employee or the employee's representative.

Webpages on this Topic

Handy Reference Guide to the Fair Labor Standards Act - Answers many questions about the FLSA and gives information about certain occupations that are exempt from the Act.

Coverage Under the Fair Labor Standards Act (FLSA) Fact Sheet - General information about who is covered by the FLSA.

Wage and Hour Division: District Office Locations - Addresses and phone numbers for Department of Labor district Wage and Hour Division offices.

State Labor Offices/State Laws - Links to state departments of labor contacts. Individual states' laws and regulations may vary greatly. Please consult your state department of labor for this information.

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how does travel comp work

How Travel Nurse Pay Works: A Comprehensive Guide

how does travel comp work

Table of Contents

Understanding travel nurse pay: your comprehensive guide.

Travel nursing is an exciting career option for registered nurses, offering the opportunity to explore new locations while helping patients in different healthcare facilities. As a travel nurse, understanding your pay is important to help you make informed decisions about your career and financial future. In this guide, we explore how travel nurse pay works, the factors that influence your earnings, and how to negotiate your contract to get the best pay package possible.

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How Does Travel Nurse Pay Work?

Travel nurse pay can be a complicated topic for many healthcare professionals. Unlike staff nurse positions, travel nursing contracts often come with multiple variables that can impact your take-home pay. This can include the bill rates at healthcare facilities, additional benefits like housing stipends, and vendor management fees that certain travel nursing companies apply to your pay. In this article, we will explore these various factors and dive deeper into how your pay works as a travel nurse.

Taxable Base Rates: What You Need to Know

First and foremost, it's essential to understand that your taxable base rate is the core component of your travel nursing pay package. As a travel nurse, this is the hourly wage that is taxed, similar to how a staff nurse is paid. This ensures you remain compliant with tax laws while working in your nursing position. Importantly, taxable base rates can vary between different travel nursing agencies, so it is essential to be aware of the rate you are receiving when comparing offers.

Tiered Bill Rates: How They Affect Your Earnings

Healthcare facilities typically pay travel nursing companies a bill rate for their services, which in turn covers your pay, benefits, and agency overhead costs. Some facilities use a tiered bill rate system, meaning the rates they pay to travel nursing companies can fluctuate based on specific factors. For example, a hospital may offer a higher bill rate for a nursing position in a hard-to-fill specialty or for an urgent need, which can sometimes result in increased pay for the travel nurse.

Being aware of tiered bill rates can be helpful when comparing travel nursing contracts and understanding the basis of your earnings. By exploring opportunities with higher bill rates, you could potentially maximize your earnings during your assignment.

Gross Profit Margin: Understanding Your Agency's Profit

Travel nursing companies make their profit by skimming some of the bill rates paid by healthcare facilities after covering the costs of your pay, benefits, and company overhead. This profit is referred to as the gross profit margin, and it's an important aspect to understand when examining the difference in pay between multiple agencies.

A transparent travel nursing agency should be able to provide a sample breakdown of how much from the bill rate is allocated towards your pay, benefits, payroll costs (e.g., taxes and Social Security), liability insurance, and company overhead. This understanding can empower you to ensure you're getting a fair deal and to potentially negotiate better pay and benefits if there's room for it within the bill rate.

Breaking Down the Travel Nursing Pay Package

Now that we have a grasp of taxable base rates, bill rates, and gross profit margin, let's dive into the other aspects of the travel nursing pay package, including travel stipends, housing reimbursements, and vendor management fees. These factors can have a profound effect on your final take-home pay, so it's essential to understand and compare them carefully when considering travel nursing contracts.

Travel Nursing Salary: Factors That Influence Your Earnings

Travel nursing agencies typically offer a benefits package on top of your taxable base rate, which can include housing stipends, travel reimbursements, and other tax-free reimbursements. It's important to understand how these factors work in addition to your base pay to get a full picture of your overall earnings on an assignment.

For instance, housing stipends might be offered based on the cost of living in your assignment area, while your travel stipend could cover any expenses related to commuting to and from your tax home. Some agencies may also offer shift differentials, overtime, certification reimbursement, or other bonuses that can influence your pay. Keep these factors in mind as you explore travel nursing contracts and compare offers.

Vendor Management Fees: What They Are and How They Affect Your Pay

Vendor management fees are another crucial aspect of the travel nursing pay package. Some healthcare facilities employ a Vendor Management System (VMS) to streamline the process of onboarding and managing temporary staff, including travel nurses. These VMS companies typically charge a small percentage of the bill rate as their fee, which is ultimately passed on to the travel nursing agency in the form of a reduced bill rate.

When a vendor management fee is taken into account, it can potentially influence the bottom line of your pay package. Agencies might have less flexibility in offering higher pay or better benefits given the reduced bill rates. Understanding this aspect of the system can help you set realistic expectations for pay when working with healthcare facilities that use a VMS.

Agencies Gross Profit: How It Affects Your Paycheck

Lastly, it's crucial to reiterate the connection between your travel nursing pay and the agency's gross profit. As mentioned earlier, travel nursing companies make their money by allocating a portion of the bill rate after covering your pay and benefits. Some agencies may have larger overhead costs or simply choose to retain more profit, resulting in lower pay and benefits for you. In contrast, other agencies that operate on a slimmer margin might be able to offer you better pay or additional benefits.

To ensure you get the best possible pay package and a fair deal from your agency, it's essential to ask questions and ensure transparency in their breakdown of the bill rate. Comparing your pay and benefits across multiple agencies can help you find the best fit for your needs and potentially increase your overall travel nurse earnings.

Understanding Your Total Pay Package as a Travel Nurse

When considering a travel nursing contract, it's essential to understand the various components that make up your total pay package. Unlike staff nurse positions, the travel nursing pay structure often comprises several components, including hourly wages, stipends, bonuses, and even liability insurance reimbursements. Travel nursing companies work with healthcare facilities to determine the bill rate for each nursing position - a figure that encompasses a travel nurse's wages, benefits, and vendor management fee paid to the agency.

To fully comprehend your travel nursing pay package, it's crucial to break down each element, such as the base pay, travel stipend, and housing stipend. Doing so will help you make informed decisions when comparing offers from different travel nursing agencies. Furthermore, understanding your pay package will help you negotiate more effectively with travel nursing companies, ensuring that you receive a fair deal for your services.

Travel Nursing Pay: Other Forms of Compensation to Consider

Beyond base pay, travel nursing agencies offer additional compensation to make their positions attractive and competitive. Recognizing these other forms of compensation is essential when comparing travel nursing pay packages:

1. Travel Stipend: Many travel nursing contracts include a travel stipend to cover the cost of transportation to and from your assignment. This amount varies depending on the distance of the assignment and the travel nursing agencies you choose.

2. Housing Stipend: A crucial aspect of a travel nursing pay package is the housing stipend. This stipend is intended to cover the cost of temporary housing during your assignment. It's essential to verify whether this housing stipend is sufficient to cover the entire cost of accommodation in your destination city.

3. Bonuses and Incentives: Travel nursing companies may also offer bonuses and incentives, such as completion bonuses or extension bonuses, to travel nurses who fulfill their contract obligations or extend their contracts beyond the initial term. These bonuses can enhance the travel nursing pay package and should be taken into consideration when evaluating offers.

4. Liability Insurance: Some travel nursing agencies provide liability insurance coverage for their nurses. This coverage is essential for travel nurses, as liability claims can be financially devastating. Ensure to inquire whether the travel nursing company includes this insurance in their pay package or if you need to secure it independently.

Travel Nurse Housing: Options and Costs

For many travel nurses, housing is one of the most critical considerations when accepting a traveling nursing position. Typically, travel nursing agencies offer two primary housing options - agency-provided housing or a housing stipend. Travel nurses can elect to use the stipend to arrange their accommodation, or they can choose to stay in housing organized and funded by the travel nursing company.

When evaluating housing options, travel nurses should account for factors such as location, convenience, safety, and cost-efficiency. If you decide to arrange your housing, research average rental rates in the assignment's city to ensure the housing stipend is sufficient to cover accommodation costs. Keep in mind that agency-provided housing is often move-in ready and may include furniture, utilities, and other conveniences that make transitions easier.

How to Negotiate Your Travel Nursing Contract

When negotiating your travel nursing pay package, it's essential to approach the process with a thorough understanding of the various components and industry norms. The following steps can help you negotiate effectively with travel nursing companies:

1. Research and compare: Gather information on travel nursing pay packages from multiple travel nursing agencies and identify the industry's standard rates for your specialty and experience. This knowledge will empower you when negotiating your desired pay package.

2. Determine your priorities: Before entering negotiations, identify which components of the pay package are most important to you, such as the housing stipend or travel reimbursement. This clarity will allow you to focus on those areas during the negotiation process.

3. Be assertive and confident: Don't be afraid to express your desires and concerns regarding the contract. Remember that travel nursing agencies' primary goal is to ensure your satisfaction so that you remain with the company. Your assertiveness may secure you a better pay package or assignment conditions.

4. Consult a mentor or colleague: If you have connections in the travel nursing industry, seek their advice on negotiating contracts and navigating conversations with recruiters. Gaining insight from experienced travel nurses can be invaluable during the negotiation process.

Sample Breakdown of a Travel Nursing Pay Package

Here's an example of a travel nursing pay package, with amounts allocated for various pay components:

  • Base Pay (Hourly Wages): $25 per hour
  • Overtime Pay: $37.50 per hour (1.5 times the base pay)
  • Housing Stipend: $2000 per month
  • Travel Stipend: $500 upon completion of the contract
  • Completion Bonus: $1000 upon contract completion
  • Extension Bonus: $500 for extending the contract past the initial date
  • Liability Insurance: Included in the pay package

By understanding the various components and industry norms, a travel nurse can successfully evaluate and negotiate their travel nursing contract. Comparing offers, researching housing options, and effectively communicating your needs to travel nursing companies will ensure that you secure favorable travel nursing pay and assignment conditions.

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Understanding Comp Time: Guidelines for Employers

November 15, 2023

Home » Blog » Understanding Comp Time: Guidelines for Employers

Compensatory time off, or “comp time,” is often misused by employers who don’t understand Fair Labor Standards Act (FLSA) laws. As a very specific type of compensation, financial and HR professionals need to understand how comp time works. This comprehensive comp time guideline helps you understand the rules for salaried, exempt, and hourly employees and the possible consequences of poor compliance.

What Is Comp Time?

Compensatory time allows employers to provide employees paid time off to account for hours worked beyond their regular schedule. Comp time is commonly used as part of a regulated compensatory policy for flexible work scheduling but can also be used case-by-case to manage unexpected scheduled changes.    

What is a comp day?

A comp day refers to a day an employee takes off when they have accumulated enough hours of overtime.

What is travel comp time?

Travel comp time is compensatory time off for travel earned when an employee’s work requires work away from their daily workplace, and this work time is not compensated via other means.

Comp Time vs. Overtime – What’s the Difference?

Although both comp time and overtime compensate employees for extra hours worked, comp time is paid out in hours off, while overtime is paid in dollars. When an employee works over 40 hours in a week, they are entitled to either earn time and a half pay for every hour over 40 hours or time and a half in hours off.

Comp time for exempt employees

However, not all employees qualify for comp time. Only exempt workers qualify, which in most cases are government or salaried employees. In fact, government employees are the only employees who can legally be offered comp time in lieu of overtime unless state laws allow otherwise. 

FLSA Comp Time

According to the Code of Federal Regulations, Compensatory time off is “paid time off the job which is earned and accrued by an employee instead of immediate cash payment for employment in excess of the statutory hours for which overtime compensation is required by section 7 of the FLSA.” 

The rules governing time off require government employers to provide comp time at a rate not less than one and one-half hours for each hour of employment for which overtime compensation is required in accordance with section 7. Furthermore, comp time, in lieu of paid overtime, is limited to a public agency that is a state, a political subdivision of a state, or an interstate governmental agency. It is illegal for private sector employees to use time off in lieu of pay.

Employers must adhere to the guidelines based on maximum accrual limits, documentation of hours and use, and deadlines to use comp time within a specified timeframe. For example, limits on the total number of comp hours an employee can accrue is 240 for most salaried workers or 480 hours for workers such as firefighters and law enforcement officers. This adds further restrictions to comp hours as the 480-hour limit on accrued compensatory time can’t represent more than 320 hours of actual overtime worked, and the 240-hour limit represents not more than 160 hours.

Comp Time for Exempt vs. Non-Exempt Employees

Nonexempt employees are hourly workers entitled to receive overtime when they work over 40 hours in a week in accordance with the FLSA. In this case, it is illegal to offer private employees comp time. Exempt employees are salaried employees who are ineligible for overtime pay or comp time. This is because their salary is intended to cover extra work expected in typical salaried roles. However, although not required by law, as an employer, you have the right to offer time off to salaried workers as a reward for their hard work.

Use of Comp Time in the Public vs. Private Sector

The U.S. Department of Labor (DOL) does not allow comp time for nonexempt employees in private-sector employment. Comp time is limited to public agencies at both state and local levels. However, as mentioned, private-sector employers can offer time off as a reward for salaried employees. In this case, it is important to avoid using the term “compensatory time,” as this is a legal term used specifically in the public sector. Many companies adopt terms such as flex time or personal days to identify this form of compensation.

State Exemptions for Comp Time

Despite the above information, some states allow private sector comp time for salaried employees in lieu of overtime as long as the employee agrees. However, this can open employers up to possible lawsuits should an employee leave the company, be fired, or change their minds and expect to be compensated with extra pay. Because of this, it is imperative to understand state laws such as:

  • Industries: Some states might allow comp time for specific industries, while states like California ban comp time completely.
  • Accrual and usage limits: Different maximums might apply, such as New York’s 240/30-day maximum.
  • Employee consent: Some states forbid comp time in the private sector, while others, like Minnesota, allow it if there is a transparent written and signed agreement.
  • Conversions: How hours are converted is also often regulated by states. For example, in Washington, employers must convert unused hours to cash after two years.
  • Collective bargaining agreements: Comp time rules might be governed by collective bargaining agreements in some states, outlining comp time usage and accrual.

Penalties for Comp Time Violations

Some possible consequences of comp time violations include:

  • Fines of up to $10,000
  • Mandatory payout based on twice the amount of back wages owed for unpaid overtime
  • Legal fees for employees out of pocket due to lawsuits
  • Jail time for repeat offenders
  • Civil money penalties of up to $1,000 per infraction

When is Comp Time a Good Idea?

If your state allows comp time, it is essential to develop a policy and ensure you adhere to state laws. This might include the following:

  • Creating terms and conditions for comp time
  • Having new employees read and sign the policy indicating they accept time off in lieu of pay as part of your onboarding process
  • Being clear at all levels how your policy works, when it applies, and how hours are incurred and used
  • Using automated time tracking to ensure an accurate record is kept of all overtime to accrue hours and determine compensation time owed
  • Tracking employee use of comp hours, especially in states where it is required to convert hours into pay after a certain period
  • Remote time tracking for hybrid workplaces
  • Leveraging a management approval system to avoid fraud and approve hours from anywhere to avoid disruption to operations

Applying comp time legally is easier when you have software to create a streamlined onboarding process to share company policies and track hours and overtime accurately. This ensures your comp time policies remain transparent and that hours are tracked to ensure employees receive the hours and compensation they are entitled to.  

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What is Travel Time Pay and How Does it Work?

  • Written by: Rinaily Bonifacio
  • Last updated: 25 April 2024

employee traveling for work symbolising travel time pay

This article will clear up any confusion about what constitutes travel time pay, who’s eligible, and the rules that need to be followed.

Table of contents

What is travel time pay?

Who is eligible for travel time pay, what is the criteria for compensable travel time, how to calculate travel time pay.

Travel time pay is the compensation employees receive for the time they spend traveling outside of their normal work hours as part of their job. This isn’t about the routine commute from home to work.

Instead, it’s about situations where an employee might need to travel to different job sites or attend meetings away from their usual workplace. It’s essential for employers to know when this time counts as payable work hours.

Travel time pay vs. Meal time pay

Travel time pay and meal time pay are distinct forms of employee compensation regulated under U.S. labor laws, specifically the Fair Labor Standards Act (FLSA). Here's a concise overview of each:

Travel time pay

Purpose : Compensates employees for work-related travel not part of their regular commute.

Compensability : Includes travel during regular working hours and overnight travel that intersects with normal work hours.

Exclusions : Does not cover the regular commute between home and work or personal travel outside work hours.

Meal time pay

Purpose : Addresses compensation during meal breaks within work hours.

Compensability : Generally unpaid unless the employee is required to perform duties during the meal period.

Exclusions : Meal breaks are non-compensable if the employee is completely relieved of duties for typically 30 minutes or more.

Legal basis for travel time compensation

In the United States, the Fair Labor Standards Act (FLSA) sets the ground rules for travel time pay. This law requires that non-exempt employees — those who qualify for overtime and minimum wage — must be paid for all hours worked.

According to the FLSA, time spent traveling during regular working hours as part of the employee's main job activities should be compensated. This doesn’t include commuting from home to work, but it does cover travel from one job site to another during the day or travel to a location for a special one-time task.

Eligibility for travel time pay under U.S. labor laws is mostly about whether an employee is exempt or non-exempt from the wage and hour laws stipulated by the FLSA.

Non-exempt employees are entitled to overtime pay and must be paid for travel time that occurs during their regular working hours. This includes hourly employees who often move between different job sites or are sent on special assignments outside of their regular working environment .

Exempt employees, those who typically receive a salary and are exempt from overtime pay due to their job nature, might not be eligible for additional pay for travel time, depending on the specifics of their roles and hours.

Travel time is compensable when it involves tasks that an employee must perform as part of their work, or during the employee’s regular work hours. This can include travel to and from different job sites within the same workday or unexpected travel required to complete work-related tasks.

The main criteria is that the travel directly pertains to and is necessary for the job, occurring during the employee's regular working hours.

Eligible travel scenarios for compensation

Understanding which travel scenarios are eligible for compensation under U.S. labor laws is crucial for employers to ensure they are compliant and fair. Here are eight detailed scenarios where travel time is typically compensable:

1. Travel between job sites:

When an employee travels between multiple job sites during their regular work hours, this travel time is compensable. For example, an electrician traveling between different homes or commercial buildings to perform installations or repairs during the day should be paid for this travel time.

2. One-time assignments in another city:

If an employee is sent to another city for a one-time assignment, the travel time spent getting to and from the destination is usually compensable. This includes the time spent driving or flying, minus the usual commute time.

3. Client visits during normal hours:

When employees need to travel to meet clients or attend meetings away from their primary workplace during their normal work hours, this time is compensable. For instance, a salesperson driving across town for client meetings during their scheduled workday should be paid for travel time.

4. Overnight travel:

Travel that requires an overnight stay away from the employee’s home community is generally compensable during the employee's normal working hours. This includes time spent traveling to and from the destination city. For example, if an employee usually works from 9 AM to 5 PM, travel time within those hours on an overnight trip should be paid.

5. Emergency calls out of regular hours:

If an employee must travel for emergency work outside of their regular hours, such as a technician called to fix a utility breakdown at night, the travel time is compensable.

6. Training events required by employer:

If attendance at a training event during regular hours requires travel, this time is typically compensable. For example, if an employer requires attendance at a training session that is not held at the usual place of work, the travel time to and from the training location during normal working hours is compensable.

7. Early morning or late night flights:

If travel involves early morning or late-night flights that fall outside of regular working hours but are necessary to reach a business-related destination, these may be compensable depending on the circumstances, like if travel during normal hours is not possible.

8. Travel to a different worksite for short duration:

If an employee is assigned temporarily to a worksite far from their regular location, the travel time more than their normal commute to the regular worksite is typically compensable. For example, if an employee who normally works in a downtown office is assigned for a week to a suburban office, the additional time spent traveling beyond their usual commute time should be paid.

Non-eligible travel scenarios for compensation

There are several travel scenarios where time spent is typically not compensable under U.S. labor laws. Understanding these can help employers avoid unnecessary payments and clarify company policies regarding travel. Here are five scenarios where travel time generally does not require compensation:

1. Regular commute from home to work:

The everyday travel time from an employee's home to their primary workplace is not compensable. This rule applies regardless of whether the employee works at a fixed location or at various locations. For example, a construction worker commuting to different job sites each day would not be paid for the time spent traveling from home to the first site or from the last site back home.

2. Travel from home to work on special one-time occasion:

If an employee is required to report to a job site that is not their regular workplace for a special one-time task and the travel distance is similar to their normal commute, this travel time is generally not compensable. For example, if an employee who normally works in an office downtown is asked to work one day from a client's office across town, the travel time does not need to be compensated if it is similar to their usual commute.

3. Travel as part of a residential move:

If an employee is relocating to another city for work and the company is paying for moving expenses, the time spent by the employee moving their residence is not compensable. This is viewed as personal travel, even though it's related to work.

4. Voluntary training not during regular hours:

When employees choose to attend training sessions or professional development workshops on their own time and such attendance is not required by the employer, the travel time to and from these events is typically not compensable. For instance, if an employee attends a weekend seminar related to their field but not specifically required by their employer, the travel time would not be paid.

manager calculating PTO accrual of employees using laptop and calculator

Calculating travel time pay correctly is essential to ensure fair compensation for employees and compliance with labor laws. Here’s how you can accurately calculate the pay owed to employees for the time they spend traveling for work-related tasks.

Calculation of travel time pay

To calculate travel time pay, you should follow these steps:

Determine the employee's pay rate : This is the regular hourly wage the employee earns.

Identify compensable travel time : Record the amount of time the employee spends traveling during their normal work hours that does not include their regular commute from home to work.

Calculate total payable hours : Multiply the hours of compensable travel by the employee's hourly wage.

Formula : Travel Time Pay=(Number of Hours Spent on Compensable Travel)×(Hourly Wage)Travel Time Pay=(Number of Hours Spent on Compensable Travel)×(Hourly Wage)

For example, if an employee who makes $20 per hour spends 3 hours traveling to different job sites during their normal work hours, the calculation would be:

Travel Time Pay=3 hours×$20/hour=$60Travel Time Pay=3hours×$20/hour=$60

Discuss any mandatory minimums or rates stipulated by law

In the United States, several mandatory minimums and rates are defined under the Fair Labor Standards Act (FLSA) and must be adhered to when calculating travel time pay:

Minimum wage : The federal minimum wage is a baseline; however, some states have higher minimum wages. Employers must pay at least the federal minimum wage for all compensable travel time unless their state's minimum wage is higher.

Overtime : If travel time plus regular working hours exceed 40 hours in a week, employers must pay hourly employees overtime at one and a half times the regular rate for the hours over 40.

Special rates : Some contracts or state laws might specify higher rates for travel time, especially if traveling involves unusual hardship or is outside of normal working hours.

How to design a policy for travel time compensation?

Creating a clear and comprehensive travel time compensation policy is essential for any organization. This policy not only helps ensure compliance with labor laws but also sets clear expectations for employees regarding their compensation for travel .

Here are five detailed steps to guide you in designing an effective travel time compensation policy:

Step 1. Define compensable travel time:

Clearly outline what qualifies as compensable travel time within your organization. Specify the types of travel that are covered, such as travel between job sites, overnight travel required for work, and travel during an employee’s normal working hours.

Make sure to distinguish between travel that is part of the employee’s daily commute (which is generally not compensable) and travel that is an integral part of the employee’s duties.

Step 2. Establish travel time pay rates:

Determine the pay rates for travel time. Decide if the rate will be the same as the regular hourly rate or if there will be a different rate for travel time. Include details on how to handle overtime pay if the travel time contributes to an employee working more than their standard working hours.

Make sure these rates comply with the Fair Labor Standards Act (FLSA) and any relevant state laws.

Step 3. Outline procedures for recording travel time:

Develop and implement a system for employees to record their travel time. This could involve logging their hours in a timekeeping system or filling out a travel time sheet.

Provide clear instructions on how and when to submit these records, ensuring that employees know the importance of accurate and timely reporting to receive appropriate compensation.

Step 4. Communicate the policy to all employees:

Once the policy is developed, communicate it effectively to all employees. This can be done through staff meetings, email distributions, or by posting it on the company’s internal website.

Ensure that every employee understands the policy and knows who to contact if they have any questions or issues related to travel time pay.

Step 5. Review and update the policy regularly:

Laws and business needs change, so it’s important to review your travel time compensation policy regularly—at least annually. This will help ensure that your policy remains compliant with current laws and continues to meet the needs of your organization and its employees.

Be open to feedback from employees about how the policy is working in practice, which could provide valuable insights into any necessary adjustments.

Employee scheduling and Time-tracking software!

Employee scheduling and Time-tracking software!

  • Easy Employee scheduling
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  • Simple absence management

Travel time pay is a crucial aspect of employee compensation, particularly for non-exempt employees under the Fair Labor Standards Act (FLSA). Employers must carefully distinguish between compensable and non-compensable travel scenarios to comply with legal standards and maintain fair workplace practices.

By establishing a clear policy that outlines compensable travel, sets appropriate pay rates, and details procedures for recording travel time, organizations can ensure both compliance and clarity for all employees. Regular review and updates of this policy are essential to adapt to any changes in labor laws or organizational needs.

Rinaily Bonifacio

Written by:

Rinaily Bonifacio

Rinaily is a renowned expert in the field of human resources with years of industry experience. With a passion for writing high-quality HR content, Rinaily brings a unique perspective to the challenges and opportunities of the modern workplace. As an experienced HR professional and content writer, She has contributed to leading publications in the field of HR.

Please note that the information on our website is intended for general informational purposes and not as binding advice. The information on our website cannot be considered a substitute for legal and binding advice for any specific situation. While we strive to provide up-to-date and accurate information, we do not guarantee the accuracy, completeness and timeliness of the information on our website for any purpose. We are not liable for any damage or loss arising from the use of the information on our website.

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how does travel comp work

Does Workers Comp Coverage Follow Traveling Employees?   //

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Does workers comp coverage follow traveling employees.

traveling-employees-does-workers-comp-coverage-follow

Traveling employees can create workers compensation coverage nightmares—and many agents are unaware of these traveling landmines until after the injury.

The problems arise at the junction of two key concepts:

Extraterritoriality. How does the sending state’s workers comp policy respond when one or several workers leave the state to perform operations for or conduct duties on behalf of the employer? More simplistically, does the workers comp coverage follow the employee when they leave the state to work? And are there any limitations on the extraterritorial benefits?

Answering the first question is easy. Every state provides extraterritorial work comp benefits to employees who travel to another state for business purposes. However, some states limit the applicability of these traveling benefits in one of two ways:

  • Extraterritorial benefits end after a specified number of days. Some states limit the number of days coverage follows the worker to another state.
  • The worker must qualify for in-state benefits based on a multipart test. Many test-based states apply Larson’s four-part test to determine whether an employee working in another state qualifies for in-state protection and benefits. Larson’s four-part test extends in-state benefits to traveling employees if they meet one of the following four qualifications:
  • Their employment is principally localized in the sending state.
  • They are working under a contract of hire made in the sending state for employment not principally localized in any state.
  • They are working under a contract of hire made in the sending state for employment principally localized in another state whose workers comp law is not applicable to the employer, such as a state that has a number threshold.
  • They are working under a contract of hire made in the sending state for employment outside the U.S.

Test-based states that do not directly apply the Larson test generally use a similar variation. If the worker does not qualify under the state’s test, benefits do not follow the worker and there is no extraterritoriality.

Reciprocity. How does the receiving state—the state to which the worker travels to work—view the workers comp coverage from the sending state? This question involves two issues: Does the receiving state’s workers comp law have jurisdiction over the out-of-state workers traveling into the state? And does the workers comp policy from the sending state satisfy the receiving state’s workers comp statutes?

Reciprocity is more frustrating than extraterritoriality. While every state provides extraterritorial benefits to qualified employees for some period of time, extraterritorial laws don’t consider the receiving state. In practicality, extraterritorial benefits apply only when the receiving state recognizes the coverage. So the important question becomes, what are the receiving state’s reciprocity rules?

Some states simply don’t care about another state’s extraterritorial coverage. Employees working in non-reciprocating circumstances or non-reciprocal states must abide by and are subject to the workers comp law of the receiving state. These statutes vary widely and fall into one of three levels of reciprocity:

  • No reciprocity: These states are not concerned with the laws of any other state. Employees who work in these states must abide by their workers comp laws.
  • Full reciprocity: These states generally maintain a list of states with which they have a reciprocity agreement, fully recognizing the other jurisdiction’s laws without limitation.
  • Limited reciprocity: These states reciprocate, but not in full. Four common reasons for non-reciprocity are:
  • Business class: Construction is the most common business class excluded from reciprocity. States that otherwise reciprocate may refuse to recognize the sending state’s workers comp coverage when the insured is in a construction class.
  • Employee count: Some states reciprocate when the out-of-state employer sends only a limited number of workers into the state. These are generally states that have a number threshold greater than one for even an in-state employer to have workers comp. Once the number of out-of-state workers eclipses a certain number, these states no longer reciprocate.
  • Time in state: A few states recognize the sending state’s coverage for a limited amount of time. Once the time limit is eclipsed, reciprocity ends.
  • Lack of mutual reciprocity: Quid pro quo—mutual reciprocity states recognize the sending state’s benefits only if the sending state recognizes the receiving state’s benefits when the roles are reversed.

Out of Sync?

Knowing the states to which employees might travel for work is essential when developing an insured’s workers comp plan. If you miss or ignore the extraterritorial and reciprocal exposures, you risk complete loss of protection. If the sending state’s workers comp does not respond, the insured is responsible for paying out of its own pocket all benefits required by law for a work-related injury.

No self-funding threat exists when the sending and receiving states’ extraterritorial and reciprocity provisions align. The sending state’s workers comp follows the worker, and the receiving state recognizes the coverage. Benefits are paid under the sending state’s laws and the receiving state asserts no authority over the situation.

But when extraterritorial and reciprocal laws do not dovetail, coverage for travelling employees requires specific action on your part. Depending on the situation, workers comp protection can be extended in one of two ways.

When the sending state’s benefits do not apply in the receiving state, list the receiving state as an additional “Primary” state, also known as a 3.A. state. Use this approach anytime there are known or suspected extraterritoriality or reciprocity issues. States that may require 3.A. status include:

  • The employer’s home office and branch office states.
  • The employer’s state of incorporation, if other than a home or branch office state.
  • Any state where the employer hires temporary employees solely to perform operations in that state of hire.
  • Any state where a subcontractor is hired to perform work on behalf of a general contractor if proof of workers comp is not provided.
  • Any state that has significant contact with an employee.
  • The state in which the contract of hire was executed, even if the employee moves.
  • Any state that does not reciprocate with any listed state.
  • States with limited reciprocity provisions.
  • Monopolistic states, which require a separate policy.

These are merely recommendations and not rules. Keep in mind, underwriters may be unwilling to extend 3.A. status, even when you make a good case.

Uh-Oh Protection

You may also extend “Other State,” also known as secondary or 3.C., status to the receiving state, but this is intended only as a safety net. Use this approach only in situations where there is no indication that the receiving state can or will assert authority over the worker, or when an insured begins new temporary operations during the policy period.

Part Three – Other States Insurance dictates how the workers comp policy responds if an employee is injured in a non-3.A. state, but—due to unexpected extraterritorial or reciprocity problems—receives the option to choose the benefits mandated by the state of injury rather than a listed 3.A. state.

Benefits extended to workers in 3.C. states comply with the statutory benefits required by the state where the employee is injured. The workers comp policy responds and pays benefits in listed 3.C. states, just as if the state was scheduled under 3.A.

3.C. protection should be structured to include any state to which the underwriter is willing to extend coverage. Most errors & omissions carriers recommend garnering 3.C. status with the phrase, “All states, territories and possessions other than 3.A. states and monopolistic states.” However, some carriers refuse to allow this breadth of protection due either to license status or a desire for greater information regarding the location and activities of the employees.

If the underwriter is unwilling to apply the overt “All states…” wording, build the “other states” coverage as broad as possible by taking the following steps:

  • Specifically schedule those states that qualify for 3.A. as per the previous recommendations but which the underwriter would not allow.
  • If not included in 3.A., specifically list all bordering states.
  • List all states to which employees regularly travel for training or meetings.
  • Complete the schedule by adding the terminology, “All remaining states, territories and possession other than 3.A. states, listed states and monopolistic states.”

Note that an underwriter might argue, “We can’t list State as a 3.C. state because we are not licensed there.” This is a bogus claim. Paragraph A.3. under Part Three – Other States Insurance reads: “We will reimburse you for the benefits required by the workers’ compensation law of that state if we are not permitted to pay the benefits directly to persons entitled to them.”

Other than not being licensed in the state, why would the carrier not be allowed to pay the injured worker directly? Just because they don’t want to list a state doesn’t mean they can’t.

Chris Boggs  is executive director of the Big “I” Virtual University  and an IA contributor.

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Special compensatory time off for travel.

This program allows employees to accrue compensatory time off for time spent by an employee in a travel status away from the employee’s official duty station when such time is not otherwise compensable. The travel must be officially authorized for work purposes and approved by an authorized official. 

An employee as defined in Title 5 U.S.C. 5541(2), who is employed in an “Executive Agency,” as defined in 5 U.S.C. 105, ) is entitled to earn and use compensatory time off for travel regardless of whether the employee is exempt or non-exempt from the Fair Labor Standards Act (FLSA). Coverage includes employees in Senior Level (SL) and Scientific of Professional (ST) positions, Federal Wage System (or Wage Grade, WG), and commissioned (tenured) Foreign Service Officers (in pay plan FO) and Commissioned Foreign Service Officers (in pay plan FO). 

Senior Executive Service members and intermittent employees (who do not have a scheduled tour of duty for leave purposes) are excluded from coverage.

Effective Dates of Coverage

Final regulations implementing compensatory time off for travel for most employees was effective May 17, 2007. Coverage for WG employees was effective April 27, 2008. Coverage for Foreign Service Officers (in pay plan FO) and Commissioned Foreign Service Officers (in pay plan FO) was effective June 8, 2006. 

Creditable Travel Time 

Time in a travel status includes the time the employee spends traveling between the official duty station and a temporary duty station (or the lodging in the temporary duty station) or between two temporary duty stations (or the lodging in the temporary duty station) and the “usual waiting time” that precedes or interrupts such travel. 

“Usual waiting time” is the time required to arrive at the airport (or other transportation hub) for security checks-ins, etc., prior to a designated departure time. 

Time spent at an intervening airport (or transportation hub) waiting for a connecting flight also is creditable time.

In the Department, “usual waiting time” is 2 hours for domestic travel and up to 4 hours for international travel. 

Non-Creditable Travel Time 

The following do not qualify as creditable time:

  • Unusually long or extended waiting periods that occur prior to an employee’s initial departure time or between actual periods of travel if the employee is free to rest, sleep, or otherwise use the time for his/her own purposes;
  • Long waiting periods that occur during an employee's regular scheduled working hours; these periods are compensable as part of the employee's regularly scheduled administrative workweek;
  • Time spent traveling outside of an employee’s regular working hours to or from a transportation terminal that are within the limits of the employee’s official duty station;
  • Time spent traveling in connection with the performance of union representational activities;
  • Time spent traveling on a holiday or an “in-lieu-of” holiday; the employee is entitled to his or her rate of basic pay for the holiday hours; and
  • Time spent at a temporary duty station between arrival and departure times; and
  • Meal times. 

Once an employee arrives at the temporary duty station (i.e., TDY work site, training site, or hotel at the temporary duty station), the employee is no longer considered to be in a travel status. Any time spent at a temporary duty station between arrival and departure is not creditable for earning compensatory time off for travel. 

Offsetting Normal Commuting Time

When an employee travels directly between the home and a temporary duty station that is outside the limits of the employee's official duty station, the employee's normal “home-to-work/work-to-home” commuting time must be deducted from the creditable travel time. 

Normal commuting time must also be deducted from the creditable travel time if the employee is required to travel outside of regular working hours between the home and a transportation hub outside the limits of the employee's official duty station.

Travel between Multiple Time Zones 

When an employee’s travel involves two or more time zones, the time zone from the point of first departure must be used to determine travel status for accruing compensatory time off. For example, if an employee travels from his official duty station in Washington, DC, to a temporary duty station in Boulder, CO, the Washington, DC, time zone must be used to determine hours in a travel status. However, on the return trip to Washington, DC, the time zone from Boulder, CO, must be used to determine hours in a travel status 

Timeframes for Use

An employee must use accrued compensatory time off by the end of the 26th pay period after the pay period during which it was earned and reported on the webTA. 

All compensatory time off for travel must be used in the chronological order in which it was earned; that is, time earned first is used first. 

Forfeiture of Unused Hours

Accumulated compensatory time that is unused by the end of the 26th pay period after the pay period in which it was earned is forfeited. Unused balances are also forfeited when an employee voluntarily transfers to another agency or separates from Federal service. Forfeited hours may not be paid or restored. 

When an employee fails to use accumulated compensatory time balances within the required timeframe due to an exigency of the public service beyond the employee’s control, the time limit for using the hours may be extended for up to an additional 26 pay periods. Additional extensions are not authorized and forfeited hours may not be restored. 

Exceptions to Forfeiture of Unused Hours

Unused compensatory time off for travel must be held in abeyance for an employee who separates, or is placed in a leave without pay (LWOP) status, and later returns:

  • To perform service in the uniformed services (see 38 U.S.C. § 4303 and 5 CFR § 353.102) with restoration rights; and 
  • Due to an on-the-job injury with entitlement to injury compensation under 5 U.S.C. Chapter 81. 

In these cases, the employee must use all of the compensatory time off for travel held in abeyance by the end of the 26th pay period following the pay period in which he/she returns to duty, or the compensatory time off will be forfeited. 

Biweekly Salary Limitation and Aggregate Limitation on Pay

Compensatory time off for travel is not considered in applying the bi-weekly pay cap under 5 U.S.C. 5547 or the aggregate limitation on pay under 5 U.S.C.507. 

Alternate Mode of Transportation

When an employee is allowed to use an alternate mode of transportation, or travels at a time/route other than what is initially approved by the authorizing official, creditable time for travel status must be estimated. The estimate is based on the amount of time the employee would have had if the mode of transportation or the time/route initially approved by the authorizing official was used. In determining the estimated amount of creditable time for travel that an employee would have had, the employee will be credited with the lesser of the:

  • Estimated time in a travel status the employee would have had if the employee had traveled at the initially approved time, or
  • Employee's actual time in a travel status at a time other than that initially approved.

Applying for Compensatory Time off for Travel

Employee must officially request the earning of compensatory time prior to the actual travel or within 10 calendar days of termination of the travel. The request may be submitted via the webTA Leave and Premium Pay Request functionality, Commerce Department Form CD-81, “Authorization for Paid Overtime and/or Holiday Work, and for Compensatory Overtime”, electronic mail, or memorandum. The request should estimate the number of hours the employee expects to earn. Upon the employee’s return from travel, the employee must provide a chronological record of travel information including:

  • Duration of the normal home-to-work commute;
  • Time and place of departure (i.e., the employee’s home or official duty station);
  • Actual time spent traveling to and from the transportation terminal if the terminal is outside of the employee’s official duty station;
  • Usual waiting time; and
  • Time of arrival at and departure from the temporary duty station. 

Earning Limitations 

There is no limit on the amount of compensatory time for travel that may be earned. 

Using Compensatory Time off for Travel 

Compensatory time off for travel is credited and used in 15 minute increments with the compensatory time off for travel earned first being charged first. Additional leave will be charged in corresponding units. Employees must request permission from their supervisor or leave approving official to schedule the use of accrued compensatory time off via the webTA Leave and Premium Pay Request functionality, a SF-71, Application for Leave, or Form OPM-71, Request for Leave or Approved Absence. 

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Workers Comp

Responsibility for employees injured while traveling for work can be murky

Stephanie Goldberg

Responsibility for employees injured while traveling for work can be murky

Recent workers compensation cases involving traveling employees highlight the need for employers to implement clear and specific travel policies.

Travel cases are known to “turn on little nuances and facts,” said Robert Turner, senior attorney and shareholder at The Silvera Firm in Dallas. But a travel policy that clearly defines what activities are considered work-related and what aren't can help employers minimize potential exposures, he added.

In one, Barbara Pinkus v. Hartford Casualty Insurance Co. , a Texas appellate court ruled in November that JVL Ventures L.L.C. employee Ron Pinkus, who died from injuries he sustained in a car accident while out of town on business, was not within the course and scope of his employment because he was driving to meet his son for dinner at the time.

Though Mr. Pinkus' transportation, lodging and reasonable meal expenses were covered by JVL Ventures, according to its travel expense policy, his “activity at the time of his injury did not originate in and was not in furtherance of his employer's business affairs,” court records show.

More often than not, claims by traveling workers that have to do with eating are covered under workers comp, but such cases “require a much different level of critical analysis than if someone slipped and fell walking down the hall in their office,” said Edward Canavan, Riverside, California-based vice president of workers compensation practice and compliance at Sedgwick Claims Management Services Inc.

Several recent cases that address traveling workers have focused on what a worker was doing when he or she was injured, Mr. Turner said.

Mr. Turner said most of his cases are won because an injury “relate(s) to or originate(s) in the employer's business and occur(s) in the furtherance of the affairs of the employer,” not because of exclusions such as “dual-purpose travel.”

Though Mrs. Pinkus argued that her husband was engaged in dual-purpose travel at the time of his accident, as the overall purpose of his trip was in the furtherance of his employer's affairs, he wasn't considered to be in the course and scope of his employment, so there was no need to discuss the exclusion, records show.

Sources said it's unlikely that the decision would be overturned on appeal.

Employees whose jobs extend beyond a single workplace, such as truckers and sales representatives, are more likely to get injured while traveling, sources added.

Such cases are common in Texas, with people in the oil industry working at remote locations, Mr. Turner said, adding that his office usually handles six to 12 traveling worker cases at any time.

On the other hand, Albert B. Randall Jr., Baltimore-based principal at law firm Franklin & Prokopik P.C., said his practice doesn't see many cases involving traveling workers, but those he does see “create a fair amount of appeals because there are some interesting issues at stake.”

Travel policies become especially important in cases involving employer-provided transportation, which is a common exception to the “going and coming” rule that states employees injured while commuting to or from work generally aren't entitled to workers comp, sources said.

Since employees are often seen as doing employers a favor by traveling for work, “it's difficult for the employer to impose too many restrictions on what the employee (can do) off the clock,” Mr. Randall said. What employers sometimes do “is simply have general parameters on what's expected of the employee,” which practically leaves “it up to the court system

as to determining what is compensable.”

Traveling employees provide a unique challenge for risk managers since they have little control over the work environment, Mr. Canavan said. For example, if a flight attendant on a layover checks into a hotel, the risk manager doesn't know whether there are special hazards in the room, he said.

What risk managers can do is make sure workers are aware of the typical kinds of injuries, such as fatigued driving among truckers, Mr. Canavan said. It's also possible to minimize exposures by clearly defining job duties, so workers know personal errands might not be in the course and scope of their employment, he added.

Employers should also find out what activities are likely to be considered within the course and scope of employment, sources said. A lot of times it's about whether an “activity was a significant enough deviation from the overall purpose of the trip to make it noncompensable,” Mr. Randall said.

In addition to clearly stating in a travel policy that all company policies apply whether in the office or on the road, many employers include a rule about not using mobile devices while driving, said Edwin Zalewski, human resources professional at J. J. Keller & Associates Inc. in Neenah, Wisconsin.

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how does travel comp work

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how does travel comp work

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What the New Overtime Rule Means for Workers

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One of the basic principles of the American workplace is that a hard day’s work deserves a fair day’s pay. Simply put, every worker’s time has value. A cornerstone of that promise is the  Fair Labor Standards Act ’s (FLSA) requirement that when most workers work more than 40 hours in a week, they get paid more. The  Department of Labor ’s new overtime regulation is restoring and extending this promise for millions more lower-paid salaried workers in the U.S.

Overtime protections have been a critical part of the FLSA since 1938 and were established to protect workers from exploitation and to benefit workers, their families and our communities. Strong overtime protections help build America’s middle class and ensure that workers are not overworked and underpaid.

Some workers are specifically exempt from the FLSA’s minimum wage and overtime protections, including bona fide executive, administrative or professional employees. This exemption, typically referred to as the “EAP” exemption, applies when: 

1. An employee is paid a salary,  

2. The salary is not less than a minimum salary threshold amount, and 

3. The employee primarily performs executive, administrative or professional duties.

While the department increased the minimum salary required for the EAP exemption from overtime pay every 5 to 9 years between 1938 and 1975, long periods between increases to the salary requirement after 1975 have caused an erosion of the real value of the salary threshold, lessening its effectiveness in helping to identify exempt EAP employees.

The department’s new overtime rule was developed based on almost 30 listening sessions across the country and the final rule was issued after reviewing over 33,000 written comments. We heard from a wide variety of members of the public who shared valuable insights to help us develop this Administration’s overtime rule, including from workers who told us: “I would love the opportunity to...be compensated for time worked beyond 40 hours, or alternately be given a raise,” and “I make around $40,000 a year and most week[s] work well over 40 hours (likely in the 45-50 range). This rule change would benefit me greatly and ensure that my time is paid for!” and “Please, I would love to be paid for the extra hours I work!”

The department’s final rule, which will go into effect on July 1, 2024, will increase the standard salary level that helps define and delimit which salaried workers are entitled to overtime pay protections under the FLSA. 

Starting July 1, most salaried workers who earn less than $844 per week will become eligible for overtime pay under the final rule. And on Jan. 1, 2025, most salaried workers who make less than $1,128 per week will become eligible for overtime pay. As these changes occur, job duties will continue to determine overtime exemption status for most salaried employees.

Who will become eligible for overtime pay under the final rule? Currently most salaried workers earning less than $684/week. Starting July 1, 2024, most salaried workers earning less than $844/week. Starting Jan. 1, 2025, most salaried workers earning less than $1,128/week. Starting July 1, 2027, the eligibility thresholds will be updated every three years, based on current wage data. DOL.gov/OT

The rule will also increase the total annual compensation requirement for highly compensated employees (who are not entitled to overtime pay under the FLSA if certain requirements are met) from $107,432 per year to $132,964 per year on July 1, 2024, and then set it equal to $151,164 per year on Jan. 1, 2025.

Starting July 1, 2027, these earnings thresholds will be updated every three years so they keep pace with changes in worker salaries, ensuring that employers can adapt more easily because they’ll know when salary updates will happen and how they’ll be calculated.

The final rule will restore and extend the right to overtime pay to many salaried workers, including workers who historically were entitled to overtime pay under the FLSA because of their lower pay or the type of work they performed. 

We urge workers and employers to visit  our website to learn more about the final rule.

Jessica Looman is the administrator for the U.S. Department of Labor’s Wage and Hour Division. Follow the Wage and Hour Division on Twitter at  @WHD_DOL  and  LinkedIn .  Editor's note: This blog was edited to correct a typo (changing "administrator" to "administrative.")

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New Biden rule would make 4 million white-collar workers eligible for overtime pay

how does travel comp work

The Biden administration on Tuesday announced a new rule that would make millions of white-collar workers newly eligible for overtime pay .

Starting July 1, the rule would increase the threshold at which executive, administrative and professional employees are exempt from overtime pay to $43,888 from the current $35,568. That change would make an additional 1 million workers eligible to receive time-and-a-half wages for each hour they put in beyond a 40-hour week.

On January 1, the threshold would rise further to $58,656, covering another 3 million workers.

“This rule will restore the promise to workers that if you work more than 40 hours in a week, you should be paid for that time,” Acting Labor Secretary Julie Su said in a statement. “So often, lower-paid salaried workers are doing the same job as their hourly counterparts but are spending more time away from their families for no additional pay. This is unacceptable.”

Column: Biden's overtime pay proposal is the last thing our economy needs. Employers must speak up.

The new standard fulfills one of President Biden’s signature objectives of raising the wages of low- and middle-class Americans and it comes within months of his face-off with former President Donald Trump in the November election. For years, Biden and Democrats in Congress have proposed raising the federal minimum wage from $7.25 an hour but have been blocked by Republican lawmakers.

The new initiative also follows a pandemic that led to widespread burnout among millions of U.S. workers and a desire by many to strike a better work-life balance . The health crisis triggered severe labor shortages that gave employees the leverage to seek more flexible hours and higher pay.

Last summer, the Labor Department proposed lifting the salary threshold for exempt employees to about $55,000 but updated the benchmark in the final rule after receiving more than 33,000 public comments.

While hourly workers are generally entitled to overtime pay, salaried workers are not if they earn above a certain pay level and supervise other workers, use professional expertise or judgment or hire and fire workers, among other duties.

The new standard could be legally challenged by industry groups that have argued that excessively raising the standard exceeds Labor’s authority and adds heavy regulatory and financial burdens or compliance costs.

“This rule is another costly hoop for small business owners to jump through," Beth Milito, executive director the the National Federation of Independent Business's small business legal center. "Small businesses will need to spend valuable time evaluating their workforce to properly adjust salaries or reclassify employees in accordance with this complicated mandate.”

Some companies could lift workers' base pay to the new threshold to avoid paying overtime or convert salaried workers to hourly employees who need to punch a clock. Others could instruct salaried employees to work no more than 40 hours a week, bringing on part-time workers to pick up the slack. Still others may reduce employees' base pay to offset the overtime, effectively sidestepping the new requirement.

In 2016, the Obama administration proposed doubling the overtime salary threshold to $47,476 from $23,660 but a federal judge in Texas struck down the increase as excessive. In 2020, the Trump administration set the current standard of $35,568.

The initial bump in the salary threshold to $43,888 that takes effect July 1 is based on a Trump administration formula that sets it at the 20 th percentile of the full-time weekly earnings of salaried employees in the lowest-wage region, which is currently the South. The increase to $58, 656 on January 1 adopts a new formula that sets the threshold at the 35 th percentile of those weekly earnings.

In a statement, the Labor Department said it's confident the new standard can better withstand a legal challenge because it's notably lower than than the 40th percentile benchmark set by the Obama administration.

"This is a meaningful methodology change that addresses potential concerns that the salary level test should not play an outsized role in relation to the duties test," Labor said.

The Labor Department also said it raised the threshold for “highly compensated” employees who only need to perform one of the duties of executive, administrative or professional workers to be exempt from overtime. That benchmark will rise from $107,452 to $151,164 by January.

Starting July 1, 2027, the rule requires Labor to adjust the salary threshold every three years to account for updated wage data.

how does travel comp work

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Tesla has begun sending out severance info to laid-off workers. Here's how much they're getting.

  • Tesla has begun sending severance information to laid-off staff.
  • Five former workers told Business Insider the severance offer included two months' pay and health insurance.
  • On Sunday, Elon Musk told Tesla staff he was cutting more than 10% of the company's workforce.

Insider Today

Tesla has started sending out severance information to laid-off employees.

Tesla CEO Elon Musk told staff the electric-car maker was slashing more than 10% of its workforce on Sunday night, according to an internal memo viewed by Business Insider. In the individual layoff notices to impacted workers that were sent in the hours after Musk's companywide email, Tesla told workers they'd receive their severance information "within 48 hours," according to emails viewed by BI.

The emails, which were sent to the workers' personal email accounts, notified staff they had been terminated effective immediately. The workers were also cut out of Tesla's internal systems around the same time, several former workers said.

Related stories

The carmaker appears to be offering workers two months of severance — meaning the workers are set to be paid through June 14, as five former workers told BI. The severance packages didn't appear to be weighted based on the length of time workers had been with Tesla, as workers with anywhere from a few months to several years of experience at Tesla received the same number of weeks paid out, the five sources told BI.

Under the Worker Adjustment and Retraining Notification Act, companies that have more than 100 workers are required to provide 60 days of notice before a large-scale layoff. But Tesla's severance offer could address any potential penalties if it were found to have violated the WARN Act, which says laid-off employees can be entitled to up to 60 days of pay and benefits if not given proper advanced notice.

Tesla is also offering to pay the cost of COBRA health insurance for two months for workers who had coverage through the company, according to a severance-package offer viewed by BI.

In order to receive the severance pay, laid-off workers must sign the contract being offered, which prohibits them from participating in any lawsuit or mass arbitration against the company, sharing any of the company's trade secrets, or publicly defaming Tesla. These types of clauses are relatively standard for severance agreements.

Tesla said the severance agreement must be signed within five business days of its receipt, and workers would receive their severance pay 45 days after their termination date, according to a severance agreement viewed by BI.

While the severance information appears to have started going out overnight, several Tesla workers who were impacted by the layoffs told BI they had yet to receive severance information as of Wednesday morning.

The severance agreement didn't include any information regarding equity awards or unused PTO. An exit email that was sent to laid-off employees on Tuesday said Tesla workers had "either 30 days or 3 months (or both)" from their termination date to exercise their vested stock options, and staff would have their PTO that they'd accrued leading up to their termination date paid out in their final paycheck.

A spokesperson for Tesla didn't immediately respond to a request for comment.

Do you work for Tesla or have a tip? Reach out to the reporter via a non-work email and device at [email protected]

Watch: Nearly 50,000 tech workers have been laid off — but there's a hack to avoid layoffs

how does travel comp work

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It takes up to two years to get your workspace just perfect, according to a new study.

Ahead of Get Organized Day on April 26, the poll of 2,000 U.S. office workers found only 40% are ‘very satisfied’ with their current workspace, be it from home or from an office. 

Those who were unsatisfied blamed the lack of space (48%), back pain from their chair (34%), and their area being too messy (32%).

A poll of 2,000 U.S. office workers found only 40% are 'very satisfied' with their current workspace, be it from home or from an office. 

Overall, 79% of people take pride in their workspace setup and 86% see their workspace have a “huge” or “moderate” impact on their happiness.

Commissioned by  Mind Reader  and conducted by OnePoll, the study found 83% feel more productive if their workspace is organized and — if it were more organized — believe they could increase their productivity by 38%.

Three-quarters said they’d even consider sharing their workspace with a famous daytime talk show host if they could.

Top picks for celebrity co-workers include Drew Barrymore (21%), Kelly Clarkson (19%) and Jennifer Hudson (15%).

Over half (58%) said they were “professionally organized” but admitted they’re personally chaotic.

In fact, people felt the most organized in their work (61%) and least organized in their mental health (27%).

Compared to other aspects of their life, 77% said their workspace is more organized than the rest. Enough so that 47% believe their loved ones would be surprised to see just how organized their workspace is.

79% of people take pride in their workspace setup.

Respondents also shared the trends they’ve tried in the past five years to help keep them organized: decluttering their digital space (35%), minimalism (32%) and using space-saving or multi-functional products (27%).

As a result, 83% swear the trends they’ve tried have effectively improved their organizational skills.

“It’s natural for us to feel more productive when we’re in an environment that is comfortable and organized,” said Glenn Goldberg, Head of Marketing at Mind Reader. “Our goal is to offer simple solutions to daily workspace problems that will have a big impact on organization, creativity and productivity. ‘Get Organized Day’ is a moment in time to motivate people to reorganize their workspaces and embrace that fresh feeling of productivity that comes as a result.”

86% see their workspace have a “huge” or “moderate” impact on their happiness.

The survey also found that where one works matters.

Nearly half (47%) said they work remotely to some capacity of their job. 

If they’re working from home, 59% said they still prefer to work from a desk, while others change spots throughout the day (18%), work from their dining room (17%) or exclusively from bed (16%).

40% of respondents said their in-office workspace is more organized, while 29% said their home workspace is more organized.

Remote workers said the best parts of working from home are not having to commute (50%), dressing how they want (48%) and feeling more productive and organized (29%).

More than a quarter (28%) said they work in a hybrid environment, splitting their time between their home and an office for their job.

Comparing the two locations, 40% said their in-office workspace is more organized, while 29% said their home workspace is more organized.

how does travel comp work

However, hybrid workers spend more time customizing their at-home workspace than their office workspace (35%, compared to 27%).

The best parts of working in person or in an office setting are feeling more engaged with coworkers (37%), feeling more productive (29%) and feeling more organized (29%).

“No matter if your workspace is at home or in an office, it’s important for it to meet your needs and feel like your individual space,” continued Goldberg. “By implementing trending, ergonomic or organizational accessories into your workday, we hope it will increase efficiency and create an environment that makes you feel your best.”  

“It’s natural for us to feel more productive when we’re in an environment that is comfortable and organized,” said Glenn Goldberg, Head of Marketing at Mind Reader.

TOP 5 ORGANIZATION TRENDS OF THE PAST 5 YEARS

  • Decluttering their digital life/space – 35%
  • Minimalism – 32%
  • Using space-saving or multi-functional products – 27%
  • Using printed labels – 24%
  • Creating secondary spaces within their home – 22%

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A poll of 2,000 U.S. office workers found only 40% are 'very satisfied' with their current workspace, be it from home or from an office. 

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  5. What is Travel Comp. Time Off? (TW) by Valentina Lefebvre

    how does travel comp work

  6. What Is The Timely Filing Limit For Workers Compensation

    how does travel comp work

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COMMENTS

  1. Compensatory Time Off for Travel

    A. No. Compensatory time off for travel may be used by an employee when the employee is granted time off from his or her scheduled tour of duty established for leave purposes. (See 5 CFR 550.1406 (b).) Also see the definition of "scheduled tour of duty for leave purposes" in 5 CFR 550.1403. Employees who are on intermittent work schedules are ...

  2. What is compensatory time off for travel?

    Work Schedules and Holidays; Telework Eligibility; Equipment and Safety; Telework Training; Performance Management; Overseas Telework; Remote Work; Training and Development Information FAQ Toggle submenu. General; USAJOBS FAQ Toggle submenu. General; Vendor Management FAQ Toggle submenu. General; Work Life FAQ Toggle submenu. General; Employee ...

  3. Overtime Compensation FAQs

    A DOE conference includes an evening reception on the first evening that begins after the employee's normal work schedule for the day. Is the time at the reception considered duty time and subject to overtime when the employee traveled during normal duty. A DOE conference includes an awards ceremony dinner following a full day of seminars.

  4. Travel time as hours of work

    Two-day per diem rule. An employee may be required to travel on his or her own time if in order to allow the employee to travel during working hours, the agency would be required to pay two days or more per diem. However, the two-day per diem rule does not of itself support an entitlement to overtime compensation for the employee.

  5. PDF CIVILIAN PERSONNEL FLIGHT FACTSHEET

    An employee's request for credit of compensatory time off for travel may be denied if the request is not filed within this time period. Travel compensatory hours will be identified on the employee's time card under "Travel Comp Time Earned" (CB) or "Travel Comp Time Taken" (CF) and the employee must provide a copy of

  6. 5 CFR Part 550 Subpart N -- Compensatory Time Off for Travel

    The employing agency must credit an employee with compensatory time off for creditable time in a travel status as provided in § 550.1404. The agency may authorize credit in increments of one-tenth of an hour (6 minutes) or one-quarter of an hour (15 minutes). Agencies must track and manage compensatory time off granted under this subpart ...

  7. Special compensatory time off for travel

    An employee must use accrued compensatory time off by the end of the 26th pay period after the pay period during which it was earned and reported on the webTA. All compensatory time off for travel must be used in the chronological order in which it was earned; that is, time earned first is used first.

  8. PDF United States Department of the Interior

    compensable hours of work under legal authority. For clarity, the following definitions are established for use in this Personnel Bulletin: (1) Compensatory time off means compensatory time off for travel that is credited under the authority of this Personnel Bulletin. (2) Compensable refers to periods oftime that are creditable as hours

  9. Why and When to Pay Employees For Travel Time

    Generally, employees should be compensated for all time spent traveling during regular business hours. This is also true for non-working days, as long as they are still on the business trip. However, if an employee is a passenger on a plane, train, or automobile, and the travel is during non-work hours, and the employee is not required to and ...

  10. Travel Compensatory Program

    Compensatory time off for travel will be administered uniformly and equitably in accordance with DoDEA Regulation 5200.01, "Compensatory Time Off for Travel" dated April 18, 2011. Official travel should be consistent with mission requirements and scheduled during an employee's regular work hours.

  11. Fact Sheet #22: Hours Worked Under the Fair Labor Standards Act (FLSA)

    Travel That is All in a Day's Work: Time spent by an employee in travel as part of their principal activity, such as travel from job site to job site during the workday, is work time and must be counted as hours worked. Travel Away from Home Community: Travel that keeps an employee away from home overnight is travel away from home.

  12. Compensatory Time Off for Travel

    Subject: Compensatory Time Off for Travel. Beginning January 28, 2005, employees are eligible to earn compensatory time off for time spent in a travel status away from their official duty station when such time is not otherwise compensable. This provision does not apply to employees in the Senior Executive Service and Wage Grade employees.

  13. What Is Compensatory Time Off: Definition, Rules & Examples

    In some instances, employees who have worked more than 40 hours in a work week can earn compensatory time or comp time in place of overtime pay. Comp time is most often used in the public sector by state and federal agencies to reimburse covered nonexempt or hourly employees for overtime under the Fair Labor Standards Act (FLSA).

  14. Travel Time

    Time spent traveling during normal work hours is considered compensable work time. Time spent in home-to-work travel by an employee in an employer-provided vehicle, or in activities performed by an employee that are incidental to the use of the vehicle for commuting, generally is not "hours worked" and, therefore, does not have to be paid. This provision applies only if the travel is within ...

  15. How Travel Nurse Pay Works: A Comprehensive Guide

    Overtime Pay: $37.50 per hour (1.5 times the base pay) Housing Stipend: $2000 per month. Travel Stipend: $500 upon completion of the contract. Completion Bonus: $1000 upon contract completion. Extension Bonus: $500 for extending the contract past the initial date. Liability Insurance: Included in the pay package.

  16. PDF COMPENSATORY TIME OFF FOR TRAVEL COMPUTATION AND APPROVAL FORM

    INSTRUCTIONS. Leave blank any of the travel segments that do not apply to your trip. Note 1: Deduct commute, if applicable. Commuting Time: (1) Commuting outside an employee's regular work hours between an employee's home and a temporary duty station or transportation terminal outside the limits of the official duty station is considered ...

  17. Understanding Comp Time: Guidelines for Employers

    Travel comp time is compensatory time off for travel earned when an employee's work requires work away from their daily workplace, and this work time is not compensated via other means. ... you have the right to offer time off to salaried workers as a reward for their hard work. Use of Comp Time in the Public vs. Private Sector. The U.S ...

  18. How does travel comp time work? : r/fednews

    comp time and travel comp time. standard comp time is when you work beyond your duty day Of like 8 hrs. This also countd local drive time like you need to go to an alternate work site thst is considered local. for example I work at a VHA medical center and need to travel 90 min to a clinic site for a 6 hr meeting.

  19. What is Travel Time Pay and How Does it Work?

    Non-eligible travel scenarios for compensation. There are several travel scenarios where time spent is typically not compensable under U.S. labor laws. Understanding these can help employers avoid unnecessary payments and clarify company policies regarding travel. Here are five scenarios where travel time generally does not require compensation: 1.

  20. How Workers Compensation Insurance Works

    A workers' compensation claim is paid if the employer or insurance company confirms that the injury or illness was work-related. If the insurer or employer rejects the workers' comp claim, a ...

  21. Does Workers Comp Coverage Follow Traveling Employees?

    Every state provides extraterritorial work comp benefits to employees who travel to another state for business purposes. However, some states limit the applicability of these traveling benefits in one of two ways: ... If the sending state's workers comp does not respond, the insured is responsible for paying out of its own pocket all benefits ...

  22. Special compensatory time off for travel

    An employee must use accrued compensatory time off by the end of the 26th pay period after the pay period during which it was earned and reported on the webTA. All compensatory time off for travel must be used in the chronological order in which it was earned; that is, time earned first is used first.

  23. Responsibility for employees injured while traveling for work can be

    In one, Barbara Pinkus v. Hartford Casualty Insurance Co., a Texas appellate court ruled in November that JVL Ventures L.L.C. employee Ron Pinkus, who died from injuries he sustained in a car ...

  24. What the New Overtime Rule Means for Workers

    The rule will also increase the total annual compensation requirement for highly compensated employees (who are not entitled to overtime pay under the FLSA if certain requirements are met) from $107,432 per year to $132,964 per year on July 1, 2024, and then set it equal to $151,164 per year on Jan. 1, 2025. ... We urge workers and employers to ...

  25. New Biden rule would cover 4 million more workers for overtime pay

    The Biden administration on Tuesday announced a new rule that would make millions of white-collar workers newly eligible for overtime pay.. Starting July 1, the rule would increase the threshold ...

  26. What Is Workers' Compensation? A Guide for Employers

    For instance, an option may cover travel costs associated with treatment or apprenticeships as part of SJDB. Given each state may have more than one workers' compensation provider, it's important for employees to understand the benefits at their disposal. ... As the requirements for workers' compensation varies, so do the rates and extent ...

  27. Workers earning under $58K a year could soon become eligible for ...

    Starting July 1, 2024, people earning less than $43,888 per year, or $844 per week, would be eligible for overtime pay. By Jan. 1, 2025, that salary threshold would increase to $58,656 per year ...

  28. How Much Severance Laid-Off Tesla Workers Get

    Reach out to the reporter via a non-work email and device at [email protected] Read next Watch: Nearly 50,000 tech workers have been laid off — but there's a hack to avoid layoffs

  29. How much does your workspace affect productivity?

    It takes up to two years to get your workspace just perfect, according to a new study. Ahead of Get Organized Day on April 26, the poll of 2,000 U.S. office workers found only 40% are 'very ...