What is the federal law for compensatory time?

Asked by: Aurore Hand  |  Last update: July 25, 2025
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Compensatory time received by an employee in lieu of cash must be at the rate of not less than one and one-half hours of compensatory time for each hour of overtime work, just as the monetary rate for overtime is calculated at the rate of not less than one and one-half times the regular rate of pay.

What is the CTO policy?

CTO is time off earned by working extra hours, substituting overtime pay. In contrast, PTO is a pool of hours that employees can use for various reasons, including vacations, personal time, or sickness, accrued over time according to the company's policy, without the prerequisite of overtime work.

Can my employer force me to use comp time?

They also claim that the regulations of the Department of Labor, the agency that administers and enforces the FLSA, do not allow an employer to require an employee to use accrued compensatory time off involuntarily in the absence of a lawful agreement providing such authorization.

How does federal comp time work?

Compensatory time off may be approved in lieu of overtime pay for irregular or occasional overtime work for both FLSA exempt and nonexempt employees who are covered by the definition of "employee" at 5 U.S.C. 5541(2). Compensatory time off can also be approved for a "prevailing rate employee," as defined at 5 U.S.C.

Can compensatory time be denied?

For an agency to turn down a request from an employee for compensatory time off requires that it should reasonably and in good faith anticipate that it would impose an unreasonable burden on the agency's ability to provide services of acceptable quality and quantity for the public during the time requested without the ...

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What is the FLSA rule for compensatory time?

Compensatory time received by an employee in lieu of cash must be at the rate of not less than one and one-half hours of compensatory time for each hour of overtime work, just as the monetary rate for overtime is calculated at the rate of not less than one and one-half times the regular rate of pay.

Can you lose comp time?

Comp time expires one year (26 pay periods) after it is earned. When you reach the expiration date, you will forfeit the leave. If you leave GSA, your comp time will be paid out.

What is an example of a comp time policy?

The rate at which they earn comp hours can vary. However, it is often calculated as time and a half (1.5 hours of comp time for every hour of overtime worked). For example, if an employee works 10 hours of overtime, they will accrue 15 hours of comp time.

How long can a federal employee be on workers compensation?

Compensation continues at this rate for an indefinite length of time based on the extent of the injury and what continued supporting documents the worker can provide. Injuries resulting in a permanent disability that makes it impossible to rejoin the workforce may qualify for lifelong benefits.

What is Section 7 of the Fair Labor Standards Act A federal law?

Under section 7(a) of the FLSA, only hours worked in excess of 40 in a workweek are overtime hours which must be compensated at one and one-half times the regular rate of pay.

Can I cash out my comp time?

All comp time has to be paid at least at 1.5 times your regular rate of pay in California. If the hour of work was entitled to a higher rate, like double time, you are entitled to that amount in comp time. You can cash out your comp time, but at your regular rate of pay.

Can I lose my job while on workers comp?

California law prohibits employers from firing employees just because they file for workers' comp. This protection ensures that you can seek necessary medical treatment and financial benefits without fear of losing your job. However, this does not mean you have complete job security while on workers' comp.

How to calculate comp time?

To calculate comp time, multiply the number of hours worked over 40 hours per week by 1.5 to determine the comp time due. In the example above, Jane worked 12 hours beyond her 40-hour work week. Jane's employer will multiply 12 times 1.5 to get 18 hours. 18 hours is the amount of comp time she's earned.

What is the CTO amendment?

Document Status: CTO AMENDMENT

This means that a Passenger Name Record (PNR) the Travel Management Company (TMC) returned to DTS has changed your approved authorization.

How does CTO time work?

Compensatory time off, or CTO, is the paid time off given to an employee instead of overtime pay. Some employees of state or local government agencies may receive comp time off. The FLSA dictates that non-exempt employees must be paid for all hours worked and cannot be given time off in place of pay.

What happens if you break a CTO?

A patient may also be recalled to hospital if they break either of the two mandatory conditions which must be included in all CTOs – that is, by failing to make themselves available for medical examination to allow consideration of extension of the CTO or to enable a SOAD to complete a Part 4A certificate.

Is there a federal workers compensation law?

The Federal Employees' Compensation Act (FECA) is administered by the DOL, OWCP. The FECA provides workers' compensation coverage for employment-related injuries and occupational diseases.

What is the 5 year rule for federal employees?

FEHB law requires a retiring employee to be covered under FEHB for the 5 years of service immediately before retirement or, if less than 5 years, for all service since the employee's first opportunity to enroll in FEHB.

What is comp time for federal employees?

Compensatory time, or comp time, is time off with pay in lieu of overtime pay for irregular or occasional overtime work, or when permitted under agency flexible work schedule programs.

Can an employer deny comp time?

An employee must be permitted to use comp time within a reasonable period of time of making the request to the employer. (Essentially, an employer may deny use of comp time only if it would unduly disrupt the employer's operations).

What is the difference between PTO and CTO?

Paid time off is an employee benefit under which employers allocate a set of leaves to their employees and these can be availed at the employee's convenience. Unlike CTO, paid time off is not given in place of overtime and is a benefit made available to all employees regardless of their hours at work.

What is the limit for compensatory time accrual?

Legal Framework in California

There must be a written agreement between the employer and the employee before the overtime work is performed. Employees must request comp time in writing. Employees must be regularly scheduled to work at least 40 hours per week and cannot accrue more than 240 hours of comp time.

What is comp time abuse?

Law violation Comp time off that violates state, local, or federal laws is illegal and may result in legal consequences for employers who abuse the law. For example, non-exempt employees are supposed to receive time and a half for hours worked over 40 per week.

Can you lose your job on workers comp?

Your employer is not allowed to terminate you simply for applying for or being on workers' compensation. This is known as retaliatory termination and it is against the law. Unfortunately, it's difficult to prove exactly why your employer fired you.

What are the disadvantages of comp time?

Downsides of comp time include: If comp time is offered regularly, employees may come to expect it every time they work overtime. It can lead to wage and hour claims and disputes over whether employees are truly exempt or non-exempt.