Wage Administration for Nonexempt Staff (VI.C.2)

Volume VI: Human Resources
Chapter C: Compensation
Responsible Executive: Vice President for Human Resources
Responsible Office: Office of the Vice President for Human Resources
Date Issued: August 1, 1984
Date Last Revised: September 1, 2020 

TABLE OF CONTENTS

Contacts
Statement of Policy
Reason for This Policy
Individuals and Entities Affected by This Policy
Exclusions
Responsibilities
Definitions (defined terms are capitalized throughout the document)
Related Documents, Forms and Tools
Website Address for This Policy
History and Updates
Appendix 

CONTACTS

Policy Clarification

Title/Office

Telephone

Email/Webpage

Office of the Vice President for Human Resources —  Compensation

765-494-7389

compensation@purdue.edu

Campus Specific Questions

Title/Office

Telephone

Email/Webpage

Fort Wayne: Human Resources and Office of Institutional Equity

260-481-6840

hr@pfw.edu

Northwest: Human Resources

219-989-2251

hr@pnw.edu

West Lafayette: HR Compensation

765-494-7389

compensation@purdue.edu

STATEMENT OF POLICY

Purdue University pays all Nonexempt staff for all Hours Worked, including overtime, in accordance with the Fair Labor Standards Act (FLSA). The University also provides compensation for Nonexempt staff under certain circumstances, including but not limited to, call-backs, selective environmental shutdowns and emergency building evacuations. The Wage and Hour Operating Procedures, maintained by the Office of the Vice President for Human Resources, supplement this policy by providing additional details for these and other circumstances.

Purdue University's pay policies, practices and procedures are administered in accordance with the policy on Equal Opportunity, Equal Access and Affirmative Action (III.C.2), as updated or superseded.

Overtime Pay

Purdue’s standard policy is to pay Nonexempt employees overtime for all Hours Worked in excess of 40 hours in any single Workweek. An exception to this is for police and firefighters who have different rules due to their unique schedules. Refer to the Wage and Hour Operating Procedures for details of how overtime is calculated and applied.

The use of compensatory time off for time worked is not allowed. The unit head or supervisor may not change the normal Workweek starting and ending day and time to avoid the payment of overtime. However, the unit head or supervisor may alter an employee’s Work Schedule to prevent an employee from working more than 40 hours in a given Workweek.

Work not authorized by the unit head or supervisor must be counted as Hours Worked. However, Nonexempt employees who work without authorization may be subject to appropriate disciplinary action, up to and including termination.

Shift Differential

The University provides a shift differential to compensate Nonexempt, benefits-eligible employees who work a normal shift in which four (4) or more Hours Worked fall between 4:00 p.m. and midnight or midnight and 8:00 a.m. Refer to the Wage and Hour Operating Procedures for rates and eligibility.

Call-Back Pay

Nonexempt, benefits-eligible employees receive call-back pay when, after completing a scheduled work shift, the employee is required to perform additional work duties outside of the employee’s normal Work Schedule. Call-back pay is not provided when extra work is scheduled in advance or when employees are asked to extend their regular work shifts (i.e., either to stay past the end of the shift or to report to work early). Refer to the Wage and Hour Operating Procedures for details of how call-back pay is calculated and applied.

On-Call Pay

Nonexempt employees who must remain on or close to the University’s premises and cannot use the time effectively for their own purposes are considered to be on working time and will be compensated for those hours. However, if the employee can come and go freely while on call, that time is not compensable under FLSA. Refer to the Wage and Hour Operating Procedures for details and examples.

Selective Environmental Shutdowns

Occasionally, environmental conditions in buildings and/or work areas render the space unsuitable for staff members to perform their assigned tasks. Unit heads will decide when environmental conditions in a building or work area require vacating the facility. The unit head may arrange for alternative solutions, including but not limited to 1) arranging for employees to work in another building, 2) rescheduling work for another day (which may include the weekend), or 3) allowing employees to take work home.

In the event an alternate solution is not possible, employees may be excused without loss of time or pay. Refer to the Wage and Hour Operating Procedures for details of when and which Nonexempt employees are eligible for compensation and how to apply it. This does not apply to campus-wide closures.

Emergency Building Evacuations

On occasion, unforeseen circumstances necessitate a temporary building evacuation. All Nonexempt staff members actively at work in the building at the time of the evacuation will continue in regular pay status until the building is declared safe (all-clear notice) or until the end of their shift, whichever occurs first. Nonexempt staff members scheduled to report to work while an emergency evacuation is in progress will be in regular pay status from the scheduled start of their shift until the building is declared safe, or until the end of their shift, whichever occurs first.

Nonexempt staff members whose shifts have not ended by the time the of the all-clear notice will be granted a 30-minute window in regular pay status to return to their workplace. Employees who do not return to their workplace within the 30-minute window will not be paid for any time missed after the 30-minute window, unless their supervisor approves the use of vacation time.

REASON FOR THIS POLICY

Purdue University must comply with all provisions of the FLSA.

INDIVIDUALS AND ENTITIES AFFECTED BY THIS POLICY

  • Nonexempt employees in regular, temporary and student positions
  • Unit heads
  • Supervisors of Nonexempt employees

EXCLUSIONS

Regional campus Chancellors and the Vice President for Human Resources have the authority to establish exceptions for their respective campuses. Each officer is responsible for documenting and managing exceptions to this policy for their respective campus.

RESPONSIBILITIES

Unit Heads

  • Authorize overtime as appropriate for business needs and in even distribution among staff members whose job classifications are appropriate to the required work. This responsibility may be assigned to a designee.
  • Identify positions that are essential and notify staff members in those positions of their status.

Managers/Supervisors

  • Establish and change Work Schedules based on business needs.
  • Discuss non-emergent changes to Work Schedules with affected employees prior to implementation.
  • Communicate to employees the policy for emergency building evacuations so they understand their responsibility in the event it happens at their workplace.
  • Determine, with input from the unit head, the best course of action in the case of a selective environmental shutdown and communicate it with employees.
  • Verify records of employees’ time are accurate.

Nonexempt Employees

  • Ensure all hours are documented and recorded accurately, including Hours Worked, vacations, holidays and leaves.
  • Obtain appropriate advance authorization for overtime.
  • Follow guidance of the unit head/supervisor during selective environmental shutdowns.
  • Take action necessary during emergency building evacuations to stay informed of the situation and return to the workplace within 30 minutes of the all-clear notice.

Payroll Department

  • Ensure payroll is administered in accordance with this policy and its associated operating procedures.

Human Resources

  • Administer this policy.
  • Maintain Wage and Hour Operating Procedures.
  • Advise unit heads/supervisors on appropriate pay practices.

DEFINITIONS

All defined terms are capitalized throughout the document. Refer to the central Policy Glossary for additional defined terms.

FLSA
The Fair Labor Standards Act of 1938 (29 U.S.C. Sections 201, et seq.).

Hours Worked
In general, this includes: (a) all time during which an employee is required to be on duty, whether at the employer’s premises or a prescribed workplace; and (b) all time during which an employee is suffered or permitted to work whether or not the employee is required to do so, and (c) all time during which an employee is eligible to be paid for University recognized holidays. Refer to the Wage and Hour Operating Procedures for additional information.

Nonexempt
Subject to the overtime provisions of the FLSA. Typically, someone who is Nonexempt is paid by the hour and receives a paycheck every two weeks.

Work Schedule
The planned hours of work in any given Workweek.

Workweek
The University’s designated standard Workweek is 12:00 a.m. Monday to 11:59 p.m. Sunday. The only exceptions to this are the shifts for police and firefighters, which are listed in the Wage and Hour Operating Procedures.

RELATED DOCUMENTS, FORMS AND TOOL

Wage and Hour Operating Procedures

Policies:

U. S. Department of Labor Fair Labor Standards Act information

WEBSITE ADDRESS FOR THIS POLICY

www.purdue.edu/policies/human-resources/vic2.html

HISTORY AND UPDATES

September 1, 2020: Statement of Policy section expanded to provide more information; added sections on overtime pay, call-back pay, on-call pay, selective environmental shutdowns and emergency building evacuations. Expanded Responsibilities to provide more clarification. Added definition for Nonexempt and Work Schedule. This policy supersedes the policy on Pay Status for Nonexempt Clerical and Service Staff and Operations and Technical Assistants During Emergency (VI.C.3) dated November 18, 2011, and the executive memorandum on Selective Shutdowns Due to Environmental Conditions (VPBS 140) dated April 6, 1970.

December 20, 2019: Contacts updated.

January 12, 2015: Operating procedures were separated from policy in accordance with current policy template. Updates were made throughout the policy and Appendix A added.

November 18, 2011: Policy number changed to VI.C.2 (formerly IV.5.8) and website address updated. Links in Related Documents section also updated.

January 3, 2011: Changes were made to the Procedures section and the policy was reformatted into the current template. This policy supersedes Overtime/Callback Pay for Non-Exempt Staff Members (Regular and Temporary Clerical/Service Staff and Operations/Technical Assistants) (Business Office Memorandum No. 179), dated April 7, 1986. This policy also supersedes the requirement to request exceptions for overtime pay over eight hours per day when creating flexible work schedules as stated in Flexible Work Schedules for Biweekly-Paid Staff and Operations/Technical Assistants as Subject to the Fair Labor Standards Act (Business Office Memorandum No. 178), dated July 15, 1985.

August 28, 2006: This policy supersedes Wage Administration Policies for Clerical/Service Staff and Operations/Technical Assistants (Business Office Memorandum No. 175), dated July 23, 1984. 

APPENDIX

There are no appendices to this policy.


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