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Below you’ll find a few compensation myths listed. You may not have known
that these statements aren’t true, and that’s okay. This article is being
written to explain the truth behind the myths.
Myth:
If exempt (monthly-paid) staff members are out of the office for more than
two hours for activities not related to their work, they should file a Form
33 and take a half-day of sick or vacation time.
The
truth: The Fair
Labor Standards Act (FLSA) tells us that for any kind of leave other than
Family Medical Leave, exempt staff in public agencies should not record any
absences of less than half a day. Purdue policy complies with this
regulation. (C-46)
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Supervisors aren’t complying with the intent of the FLSA when they tell
employees to round up two hours to a half a day. The truth is that if an
exempt employee is gone for less than half a day, the absence should not
be tracked or recorded. |
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Remember that supervisors have the right to expect exempt staff to be
available during scheduled hours and the right to require exempt
employees to request permission to be gone from their workstations.
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Myth: When
exempt staff members work extra hours, they can take an equal number of
hours off on a different day to make up the difference.
The
truth: Exempt
employees are paid fixed salaries regardless of the hours they work.
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It is expected that there will be minor variations in the hours exempt
employees work. These minor variations do not affect pay and should not
be recorded in increments of less than half-days. |
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While exempt employees can, with supervisor permission, adjust their
schedules to account for periods of extra work, the adjustments should
not be on an hour-for-hour basis, and they should not be tracked.
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Myth: Exempt
employees can use “comp time” to cover absences.
The
truth: There is
no “comp time” for any staff group at Purdue University. Exempt staff may
not “bank” extra hours worked to cover time taken off later.
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There are only two instances when exempt staff should track hours.
• Hours can be
tracked for effort reporting or for billing purposes.
• If an exempt
employee is on FMLA leave, absences related to the leave may be
tracked by the hour. |
Myth: Part-time
staff members don’t get holidays.
The
truth: All
benefits-eligible employees (both exempt and nonexempt) at Purdue University
receive holidays.
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Part-time benefits-eligible employees receive holidays in proportion to
their FTE. |
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Temporary employees do not receive holidays. |
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Non-exempt employees should receive holiday pay in accordance with
Purdue policy. When work is required of a regular employee on a
University holiday, the actual number of hours worked are paid at the
overtime rate and the normally scheduled hours for the holiday are
reported for regular holiday pay. |
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Exempt employees do not receive extra pay for working holidays. |
Myth: If
employees see someone working in a job that they think is similar to theirs,
their pay should be almost exactly the same as the other person’s pay.
The
truth: Pay
equity is determined by the interactions of many factors.
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Positions at Purdue are grouped into broader job categories based on
similar work-related criteria. These broader categories contain several
different levels of similar work. |
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range of pay can exist within each category based on level of
responsibility; based on incumbent characteristics such as length of
service, educational background, previous work experience, performance;
and based on initial offers and availability and amount of annual merit
increases. |
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Picking specific individuals with whom to compare salaries often results
in a distorted picture. If an employee has concerns about salary equity,
the department should contact Compensation for assistance in performing
a broader salary analysis that includes all similar positions and that
considers departmental equity issues as well. |
If
you’ve heard something about compensation and you wonder whether it’s true
or just a myth, send an e-mail with the information. We’ll let you know, and
we’ll write another article debunking more compensation myths!
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Compensation Team |