FMLA-Who Determines?

So many times our ee's say "Oh, I'm not requesting FMLA leave. I'm just using my sick time." (We allow our ee's to use their accrued time for an FMLA leave if desired.) Now I have always been of the opinion per 825.208 that it is the er's responsibility to designate the leave as FMLA regardless of what the ee desires. Recently I have been challenged on this. Am I correct?

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