Slide 1 Fast Facts Feature Presentation March 28

Slide 1 Fast. Facts Feature Presentation March 28, 2012 To dial in, use this phone number and participant code… Phone number: 888 -651 -5908 Participant code: 182500 To participate via Vo. IP… You must have a sound card You must have headphones or computer speakers © 2012 The Johns Hopkins University. All rights reserved.

Slide 2 Today’s Topic We’ll be taking a look at… Hours Worked under the Fair Labor Standards Act Comp Time vs. Time Off Plan

Slide 3 Today’s Presenter Jill Horn Compensation Manager for The Johns Hopkins University Place picture of Presenter Name here

Slide 4 Session Segments Presentation Jill will talk about what constitutes paid working time. During Jill’s presentation, your phone will be muted. Q&A After the presentation, we’ll hold a Q&A session. We’ll open up the phone lines, and you’ll be able to ask questions. Jill will answer as many of your questions as time allows.

Slide 5 Contact Us If you would like to submit a question during the presentation or if you’re having technical difficulties, you can email us at: fastfacts@jhu. edu You can also send us an instant message! Google. Talk – Hopkins. Fast. Facts@gmail. com AOL Instant Messenger – Hopkins. Fast. Facts MSN – Fast. Facts@jhu. edu

Slide 6 Survey At the end of this Fast. Facts session, we’ll ask you to complete a short survey. Your honest comments will help us to enhance and improve future Fast. Facts sessions.

Slide 7 How To View Full Screen k c Cli ere H

Slide 8 Hours Worked and Time Off Plans

Slide 9 Fast. Facts Series on Compensation Topics Four Fast. Fact sessions: 1. Hours Worked and Time Off Plans 2. Understanding & Calculating Regular Rate (April 24, 2012) 3. Tracking Time in E 210 & Processing Overtime in SAP (May 10, 2012) 4. Overtime Pay – Real Life Scenarios & Special Issues (June 7, 2012) This presentation applies to university non-bargaining unit employees.

Slide 10 What Are Hours Worked? Compensable work time under the Fair Labor Standards Act (FLSA) FLSA governs labor practices JHU is covered by the FLSA Applies to non-exempt employees Applies regardless of where the work is performed (i. e. , at home)

Slide 11 “Suffered or Permitted” Work not requested but suffered or permitted to be performed Must be paid for by employer Even if employee does not obtain permission to work additional hours Employees who work without prior authorization must be paid but may be subject to disciplinary action (JHU policy) Even if performed during lunch or before start time Even if employee does not want to be paid (e. g. , volunteering time to get work done)

Slide 12 Waiting Time – “Engaged to Wait” Counted as hours worked when: Employee is unable to use the time effectively for his or her own purposes; and Time is controlled by the employer Not counted as hours worked when: Employee is completely relieved from duty; and Time is long enough to enable the employee to use it effectively for his or her own purposes Determining when waiting time is compensable may not always be straightforward. Consult with HR.

Slide 13 On-Call Time Counted as hours worked when: Employee has to stay on the employer’s premises Employee has to stay so close to the employer’s premises that the employee cannot use that time effectively for his or her own purposes Not counted as hours worked when: Employee is required to carry a pager Employee is merely required to leave word at home or with the employer on where he or she can be reached Determining when on-call time is compensable may not always be straightforward. Consult with HR.

Slide 14 Rest & Meal Periods Meal periods are not hours worked when: Meal break is generally at least 30 minutes Employee is free to leave his or her work area Employee is relieved of duties for the purpose of eating a meal Rest periods of short duration (normally 5 -20 minutes) are counted as hours worked and must be paid Breastfeeding breaks Law requires provision of “reasonable” unpaid breaks to nursing mothers for up to one year every time they need to express breast milk Required to provide employees a private location other than bathroom

Slide 15 Sleep Time Less than 24 hour duty Employee who is on duty for less than 24 hours and must work when required is considered to be working even if allowed to sleep or engage in other personal pursuits Duty of 24 hours or more Employers can exclude bona fide sleep* and meal periods * Bona fide sleep = Regularly scheduled sleeping period of no more than 8 hours with adequate sleeping facilities, minimum 5 hours uninterrupted sleep time, and employer/employee agreement to exclude sleep time

Slide 16 Lectures, Meetings, & Training Programs Time employees spend in meetings, lectures, or training is considered hours worked and must be paid, unless all of the following criteria are met: Attendance is outside regular working hours, and Attendance is voluntary, and The course, lecture, or meeting is not job related, and The employee does not perform any productive work during attendance

Slide 17 Travel Time Whether time spent traveling is work time depends upon the kind of travel involved Ordinary “home to work” travel is not work time Travel to alternative work site is still normal “home to work” travel Travel between job sites during the normal work day is work time

Slide 18 Travel Time – Special Rules Special rules apply to travel away from the employee’s home community Example: Employee required to travel to NYC for day Travel time 8: 00 a. m. to 7: 00 p. m. Normal working hours 9: 00 a. m. to 5: 00 p. m. Time traveling and working is compensable EXCEPT: “Home to work” travel, i. e. , home to train station – Only include amount of time that is similar to amount of time spent in normal commute from home to work Meal time

Slide 19 Travel Time – Overnight Considered work time when… Travel is during the employee’s regular working hours whether or not employee actually performs work Travel is during regular working hours on non-working days such as Saturday or Sunday Employee performs work while traveling Employee is required to operate vehicle or other mode of transportation Meal times still deducted from hours worked

Slide 20 Travel Time – Overnight Not considered work time when… Travel time outside of regular working hours as a passenger is not compensable time Other consideration… If the employee has option of public transportation but chooses to drive, the employer may count hours worked as either the driving time or the time using public transportation

Slide 21 Travel Time – Overnight Example Scenario Non-exempt employee Standard work schedule is M-F 8: 30 a. m. to 5: 00 p. m. Normal home to work commute time is 30 minutes Sent from Baltimore to Florida for work conference Travels to Florida via airplane Sunday from 9: 00 a. m. to 4: 00 p. m. Leaves house at 8: 30 a. m. to drive to Baltimore airport Takes 30 minutes to eat meal while traveling Leaves airport in Florida at 4: 00 p. m. to take train to hotel; arrives at hotel at 5: 00 p. m. Travels home via airplane Tuesday from 4: 30 p. m. to 10: 30 p. m. Leaves hotel in Florida at 4: 00 p. m. to take taxi to airport Spends 2 hours on plane working

Slide 22 Travel Time – Overnight Example Sunday: Total Hours Worked is 7. 5 hours 6. 5 hours: airplane travel during working hours minus 30 minute meal time 1 hour: train travel to hotel Travel from house to airport not included even though it was during normal working hours because it is considered “home to work” travel Tuesday: Total Hours Worked is 3 hours ½ hour: taxi travel to airport during working hours ½ hour: airplane travel from 4: 30 p. m. to 5: 00 p. m. (time after 5: 00 p. m. not included because not during working hours) 2 hours: working on airplane

Slide 23 Travel Time – Overnight Example What if employee was required to drive from Baltimore to Florida? All driving time would be considered hours worked whether or not during normal working hours Meal times excluded What if employee chose to drive? Employer may determine hours worked by using either the driving time or the time using public transportation

Slide 24 Other Situations Preliminary & Postliminary activities Activities performed before or after employee’s specified work schedule Compensable if “integral and indispensable” to an employee’s “principal activities” (Not clearly defined) “Continuous workday” – all activities between first and last principal activity on a work day are compensable Non-compensable activity example: Employee working at restaurant at airport Required to pass through security screening Activity required by airport not restaurant; restaurant not benefited

Slide 25 Other Situations Compensable activity examples: Donning and doffing clothing (depends on circumstances) Takes place on employer’s premises Heavier and/or more unique gear or uniform, i. e. , mesh apron, shin & arm guards, special suit for working with hazardous material Maintenance of machinery E. g. , employee who operates machinery is required to oil and clean it in order to operate

Slide 26 De Minimis Rule Allows for insignificant periods of time outside scheduled working hours to be disregarded in recording working time Applies only where a few seconds or minutes of work are involved and where the failure to count such time is due to considerations justified by industrial realities, e. g. , cannot as a practical administrative matter be precisely recorded for payroll purposes De minimis definition varies, e. g. , $1+ of additional pay, 10 minutes additional time, etc.

Slide 27 Keeping Track of Hours Worked Complete and accurate records of hours worked is required by FLSA and JHU Policy for non-exempt staff E 210 is not only a leave tracking system; should be used to record actual hours worked Non-exempt employees need to record their work hours weekly and supervisor/timekeeper needs to review time sheets weekly Additional pay for hours worked beyond regular standard hours must be submitted in SAP for payment within the next pay period

Slide 28 Comp Time vs. Time Off Plan Comp Time – The substitution of additional hours worked today for leave at a later date in a following pay period Not permitted by law (Private employers like JHU) Time Off Plan – Allows time off during the same pay period in which the employee worked in excess of the standard work week Permissible but difficult to administer properly Discourage the use of time off plan

Slide 29 Implementing Time Off Plan Calculating time off for hours worked… … in excess of standard work week but less than 40 hours: 1 hour worked equals 1 hour time off … in excess of 40 hours: 1 hour worked equals 1. 5 hours time off Overtime hours can only occur in the first week of the pay period and the leave (time off) must be taken in the second week of the same pay period Unless you can give time off in the same pay period in which the overtime was incurred, the employee must be paid accordingly for all hours worked by submitting a Bonus/Supplemental ISR

Slide 30 Summary Hours Worked Compensable work time under Fair Labor Standards Act Required to pay non-exempt employees for all time worked Understanding what constitutes Hours Worked: Wait Time, On Call Time, Meal & Rest Periods, Sleep Time, Travel Time, Lectures, Meetings, Training, Preliminary and Postliminary Activities Time Off Plan Allows time off during the same pay period in which the employee worked in excess of the standard work week

Slide 31 Fast. Facts Series on Compensation Topics As a reminder, the other Fast. Facts in this series will cover the following topics: 1. Understanding & Calculating Regular Rate (April 24, 2012) 2. Tracking Time in E 210 & Processing Overtime in SAP (May 10, 2012) 3. Overtime Pay – Real Life Scenarios & Special Issues (June 7, 2012)

Slide 32 Q&A We’re going to open the phone lines now! There will be a slight pause, and then a recorded voice will provide instructions on how to ask questions over this conference call line. We’ll be answering questions in the order that we receive them. We’ll also be answering the questions that were emailed to us during the presentation. If there’s a question that we can’t answer, we’ll do some research after this session, and then email the answer to all participants.

Slide 33 Thank You! Thank you for participating! We would love to hear from you. Are there certain topics that you would like us to cover in future Fast. Facts sessions? Would you like to be a Fast. Facts presenter? Please email us at: fastfacts@jhu. edu

Slide 34 Survey Before we close, please take the time to complete a short survey. Your feedback will help us as we plan future Fast. Facts sessions. Click this link to access the survey… http: //connect. johnshopkins. edu/fastfactssurvey/ Thanks again!