FLSA & KRONOSLeah Metzer, Director, Accounting & PayrollBridget Bushman, Special ist, HR/Classification

Objectives• Review Fair Labor Standards Act (FLSA) Guidelines• Review ESPBC Master Agreement – wage and hour• Review KRONOS – employee time & attendance

application• Share KRONOS Implementation Plan• Questions & Answers

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FLSA Identifies two types of employeesNON-EXEMPT• Hourly employees• Compensated at time-

and-one half for time worked in excess of 40 hours per week• ESPBC employees

EXEMPT• Salaried employees• Do not receive overtime

compensation• Executive, Administrative,

Professional, etc. classifications

FLSA requires employers to . . . Compensate all non-exempt employees for ALL hours workedOvertime compensation for hours worked beyond 40 hours per work weekPay employees federal minimum wageMaintain wage and hour record keeping

Effect of ESPBC Master Agreement

• Should the Master Agreement provide employee benefits beyond the guidelines in FLSA, the agreements will prevail

• Breaks (example)• Employers not required to provide under FLSA• Master Agreement provisions establish guidelines for breaks

• Information combination of FLSA & ESPBC agreement guidelines

Overtime (OT)• Hours worked over 40 hours in a work week are considered OT• Hours worked beyond 40 must be compensated at a rate of time and one half• vacation, paid leave, and holiday pay are not treated as hours worked

Overtime (OT)• Must be pre-approved by a supervisor• Either paid time or compensatory time (agreed upon)

• Employee, with approval, may adjust their schedule during the work week to offset extended work days•These adjustments should occur in the same work week

Gap Time• Time worked beyond the normal work week up to 40 hours is “gap time”• 40 hours per week – 37.5 hours per week = 2.5 hours gap time

• Paid at the regular hourly rate of pay (not time and one half)

• Must be pre-approved by supervisor

Compensatory (Comp) Time• Paid time off which is earned and accrued in lieu of cash payment for work in excess of regular weekly schedule• Earned hour for hour for ‘gap time’

• Earned at a rate of one and one half hours beyond 40 hours per week

Using Comp Time• Preferred – within the same or next pay period after accrued • FLSA – states within a ‘reasonable time period’

• ESPBC Agreement – states must be used by the end of the school/fiscal year

Responsibilities for Administrator/Supervisor

Monitor employees time Review requests for work extending beyond the work schedule Determine if schedule can be adjusted within a work week Report comp time and overtime appropriatelyEnsure comp time is uti l ized in accordance with ESPBCCounsel and/or provide discipl inary action to employees who do not comply with OT or comp time procedures

Responsibilities for Employee

Perform duties during designated work hours Avoid working during lunch, before, or after the start of the day without prior approval Avoid accessing electronic work materials (e-mail) beyond work hours Obtain authorizat ion and complete appropriate form Understand whether or not you wil l receive comp t ime or paymentUse comp t ime in accordance with the ESPBC Agreement

We Love Your dedicationHOWEVER, ESPBC EMPLOYEES MAY NOT . . .Volunteer to work ‘off the clock’Waive rights under FLSA

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Current BCPS Reporting Procedures•Authorization to Work Beyond Scheduled Hours form (two parts)• Must be signed by supervisor prior to working

gap time or OT• Indicates either paid or comp time• Report of hours worked upon completion

Authorization to Work Beyond Scheduled Hours

Current BCPS Procedures - Continued•Notification of Absence card• Used to request time off including comp time• Bi-Weekly Payroll Report• Used to record leave and additional hours

worked

Why KRONOS?•Currently used by BCPS•More efficient way to process payroll• Increased accuracy•Compliant with FLSA• Compensate employees for all hours worked

KRONOS Project -Progress to Date• Conducted focus group meetings• Incorporated feedback

• Established project steering committee and work group• Met with offices participating in Phase 1 and 2 • Inventoried KRONOS time clocks• Developed training materials

Implementation Schedule• April 2014 – Parallel testing • May 2014 – Phase 1• Fiscal Services and Human Resources Bldg E

• June – August 2014 – Phase 2• Office-based employees (Greenwood, Jefferson Bldg,

Pulaski Park)

• September – December 2014 – Phase 3• Roll out to school-based employees

ResourcesBCPS OFFICE OF PAYROLL: 410-887-4240 HTTP: / /WWW.BCPS.ORG/OFFICES/PAYROLL/

BCPS OVERTIME/GAP T IME AUTHORIZATION FORM: HTTP: / /WWW.BCPS.ORG/OFFICES/PAYROLL/PDF/FLSA/WORK_FORM.PDF

STATE OF MARYLAND WAGE AND HOUR DIVISION: WWW.DLLR.STATE.MD.US/LABOR/WAGES/

U.S. DEPARTMENT OF LABOR WAGE AND HOUR DIVISION: WWW.DOL.GOV/WHD/FLSA

BCPS OFFICE OF CLASSIF ICATION: 410-887-8938HTTP: / /WWW.BCPS.ORG/OFFICES/PERSONNEL_SERVICES/PDF/FLSAGUIDE.PDFHTTP: / /WWW.BCPS.ORG/OFFICES/PERSONNEL_SERVICES/PDF/FLSA-FAQ.PDF

BCPS OFFICE OF STAFFING: 410-887-7869BCPS OFFICE OF EMPLOYEE DISPUTE RESOLUTION: 410-887-8936 

Questions