vacation time and overtime

Does anyone have a policy that clearly states that if an employee takes vacation in the middle of the work week and it pushes them over the 40 hours that the vacation time does not count as overtime hours? Any thoughts around this I would appreciate.



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  • Only hours actually worked count for overtime consideration.  The vacation "hours" are administrative hours for determining how much vacation was used and how much should be paid.  Because vacation hours are not worked hours, they do not count toward overtime.  If the person worked 40 hours and took 8 hours of vacation, they are only entitled to 48 hours of straight time.  If you are in a unionized environment, you need to look at past practices.  I've never seen a policy on this simply because it's clear under FLSA but I'm sure someone has one somewhere.
  • Ours is part of our timeoff policy and simply states "Pay for vacation days will be paid on the regular pay cycle.  Vacation days are not used in calculating overtime hours. " and "A paid holiday does not count as a day worked in calculating overtime for the week." and "Sick days will not be used in the calculation of overtime. " under each policy.



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  • Here's ours:

    "Except holidays, employees must work forty (40) hours during a one week period beginning at 12:01 a.m. Sunday and continuing through midnight of the following Saturday to be paid overtime.  Overtime will be paid at one and one-half times regular pay. Any time missed during a week must be made up before overtime will start."

  • Here is our overtime policy (our work week is specified in a different policy):

    Certain employees are “exempt” from federal minimum wage and overtime provisions as defined by the Fair Labor Standards Act, while others are not. If you are classified as a “non-exempt” employee, you will be paid time-and-a-half (1-1/2 times your regular wages) for all time actually worked in excess of forty hours in one workweek; Paid Time Off, Holidays, and Vacation days, even if paid, are not included for the purposes of computing eligibility for overtime pay.

    Note that no overtime should be worked unless authorized in advance by your Supervisor.

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