State Compensatory Time
The state compensatory time policy applies to both exempt and non-exempt employees, which includes Code 1000 (administrative and professional) and classified employees of the university. The policy does not apply to faculty employees or those positions that require student status as a condition of employment.
Guidelines for Earning of State Compensatory Time
Employees must have prior approval before earning compensatory time.
Employees may not earn state compensatory time for work performed at any location other than the employee’s regular or temporarily assigned place of employment. For telecommuting employees, with dean or director approval, an employee may earn state compensatory time for work performed at home or other regular place of employment.
Employees can earn state compensatory time for meetings held outside of the normal business day. This does not extend to social activities held in conjunction with conferences or other events.
With prior supervisory approval, employees who are assigned projects that exceed normal expectations and have specific due dates may earn state compensatory time for the time spent working on the project in order to meet the due date.
Payment Guidelines
State compensatory time is earned at straight time at the end of the work week when the total number of hours recorded as worked plus the total number of hours of paid time off or paid holidays exceeds 40 hours in one workweek. State compensatory time expires within 12 months of the week it was earned.
| Job Type | May be Paid for State Compensatory Time | May Not be Paid for State Compensatory Time | Must be Paid for Hours Worked Over Their Appointed Time |
|---|---|---|---|
| Full-time Exempt | No | Yes | No |
| Part-time Exempt | No | No | No |
| Full-time Non-exempt | Yes | No | No |
| Part-time Non-exempt | N/A | N/A | Yes |
Full-time exempt - employees may not be paid for earned state compensatory time, but instead should make time to use their state compensatory time before it expires.
Part-time exempt - employees may accrue state compensatory time for the number of hours that exceed the hours for which they are appointed, if the hours worked and hours of other paid time off and/or paid holiday time exceed the number of hours for which he or she is appointed.
Full-time non-exempt - employees may be paid for state compensatory time hours when the taking of earned state compensatory time would be disruptive to normal teaching, research, or other critical functions as determined by management.
Part-time non-exempt - employees may not accrue state compensatory time if the hours worked and hours of other paid time off and/or paid holiday time do not exceed 40 in a workweek. Part-time non-exempt employees must be paid for the hours worked over their appointed work hours; they may not accrue state compensatory time.
Earning of State Compensatory Time on Holidays
Employees scheduled to work on an official holiday will receive holiday pay and may earn state compensatory time. Exempt or non-exempt employees may be paid for state compensatory time earned on holidays only if it is determined that allowing compensatory time off would disrupt normal teaching, research, or other critical functions as determined by management.
Use of State Compensatory Time
There is a cap on the number of state compensatory hours you may earn. An employee’s state compensatory time balance cannot exceed 144 hours OR the employee’s current sick time off balance, whichever is higher.
Administrative and Professional (Code 1000) Staff can use up to a maximum of 20 hours of state compensatory time in a workweek with prior supervisory approval and cannot exceed two consecutive workweeks.
Example: An A&P employee using the maximum of 20 hours of state compensatory time in a given workweek may also use 20 hours of accrued and available vacation time off for a total of 40 hours absent time
Classified staff can use up to 40 hours of state compensatory time in a workweek with prior supervisory approval and cannot exceed two consecutive workweeks.
An employee transferring without a break in service from one UT Austin department to another can transfer a state compensatory balance of up to 144 hours to the new department.
An employee separating from the university can use up to 40 hours of state compensatory time during their last week on the payroll.
Loss of Unused State Compensatory Time Balances
An employee must use state compensatory time, including holiday compensatory time, within the 12 months following the end of the workweek in which it was earned, or it lapses.
Employee Responsibilities
- The employee shall request to use state compensatory time through his or her supervisor.
- Employees should promptly and accurately record all time worked plus use of paid time off or paid holiday time and the use of state compensatory time.
- Employees account for time on a daily basis.
Supervisor and Department Responsibilities
- The supervisor/department must review and approve the use of state compensatory time, verify that the employee has accurately recorded the use of their time, and approve the time entry.
- Supervisors are encouraged to accommodate the employee’s use of state compensatory time to the extent practicable.
State Compensatory Time and Travel for Official University Business (For Exempt Employees Only)
Any time spent actually working may be counted as work time.
Exempt employees can earn a limited amount of state compensatory time, not to exceed two hours, for the time spent traveling to and from the business destination.
If an exempt employee travels during their regular shift time, they can count the time spent traveling as work time. Anytime traveling outside of their shift time, is not considered work time.
If an exempt employee attends non-required “after hour” or social events at a conference, they may not count that time as work time.
Time Tracking
- State compensatory time is earned at straight time.
- Employees should promptly and accurately record all time worked. The Time Entry Calendar in Workday will automatically calculate the state compensatory time.
Overtime (Federal Compensatory Time)
Overtime applies only to non-exempt employees of the university.
Earning
Overtime is earned at time-and-a-half at the end of the work week when the total number of hours recorded as worked exceeds 40 in one workweek. Overtime and Federal Compensatory Time (banked overtime) does not expire.
| Job Type | Eligible to be Paid for OT | Not Eligible to be Paid for OT |
|---|---|---|
| Full-time Exempt | No | Yes |
| Part-time Exempt | No | Yes |
| Full-time Non-exempt | Yes | No |
| Part-time Non-exempt | Yes | No |
Full-time and part-time exempt employees do not earn overtime but may earn state compensatory time. (See State Compensatory Time section)
Full-time and part-time non-exempt employees are eligible to earn overtime with supervisory approval.
Example: An employee works two (2) hours over his regular 40 hour workweek. The two hours over is multiplied by 1.5. This gives the employee three (3) hours of overtime plus his 40 hours worked for a total workweek of 43 hours.
Banked Federal Compensatory Time
Banking Institution
By default, the university is a banking institution. All federal overtime earned is banked for use as time off at a later date.
Employee Responsibilities
- The employee shall request to use federal compensatory time through his or her supervisor.
- Employees should promptly and accurately record all time worked plus use of paid time off or paid holiday time and the use of federal compensatory time.
Supervisor Responsibilities
- The supervisor must review and approve the use of federal compensatory time, verify the employee has accurately recorded the use of the time, and approve the time entry.
- Supervisors are encouraged to accommodate the employee’s use of federal compensatory time to the extent practicable.
Paying Banked Overtime
Due to operational needs, some departments may choose to pay out banked overtime in lieu of providing time off. Per Teacher Retirement System of Texas (TRS) guidelines, banked overtime that is paid out in lieu of taking time off is not considered creditable compensation. It will not be subject to TRS deduction or reported to TRS for use in calculating a future retirement annuity.
Overtime and Travel for Official University Business (For Non-Exempt Employees)
Any time spent actually working may be counted as work time.
If a non-exempt employee travels during their shift time, regardless of the day of the week, they may count it as work time.
If a non-exempt employee travels outside of their regular shift time, they cannot count it as work time, unless they are driving.
For example, two non-exempt employees travel together from Austin to Dallas in a car after their regularly scheduled shift. One drives; the other is a passenger. The driver will record any time spent driving as work time. The passenger may not claim work time for the time spent as a passenger.
If a non-exempt employee attends non-required “after hour” or social events at a conference they may not count that time as work time.
- Part-time, non-exempt employees are paid at their regular hourly rate for time worked over their appointed hours but less than 40 hours.
Need Assistance? Questions regarding compensatory time should be directed to Human Resources – Leave Management.