Hourly employees will see ‘holiday worked’ pay adjustment effective Sept. 3

The City of Minneapolis is making adjustments effective Sept. 3, 2017 to ensure that non-exempt employees (other than the excluded staff*) who work on a holiday are paid correctly based on the Fair Labor Standards Act (FLSA) and union contracts. These adjustments will be reflected in the salary breakdown these employees will see in their paystubs. This will include calculation of 40 hours in a week and any resulting overtime calculated.  

What will the impact of this change be?

·        For weeks in which there is a holiday, departments may begin to schedule hours of work differently; and,

·        Depending on the sequence of hours worked on a holiday, employees may see an increase in wages.

While employees will enter their time/codes in COMET_HR as they have done in the past, new codes highlighted below will show only in their paychecks/paystubs. Here are the adjustments employees who work on a holiday will see following the effective Sept. 3 date.

 

·        The 1.5 times the hourly base rate of pay for holidays worked is a premium rate of pay and a new code (HOLPY-Holiday worked 1.5) has been set up in the system to ensure that all hours worked on a holiday are paid at this premium rate.    

·        If working on a holiday causes an employee to work over 40 hours in a week, the holiday premium will be still be paid for the hours worked (as above) AND those hours over 40 will be paid at the overtime rate.  

·        A new code (FP5- FLSA overtime premium pay) has been created to pay .5 overtime premium units when hours worked on holiday create an overtime situation on the same day.

·        Because hours worked on a holiday are not considered “overtime”, those hours cannot be banked as comp time.

 

*These changes do not apply to 911 employees, and those employees covered by work rules agreed to by Fire Fighters Local 82, Fire Chiefs unit, and the Police Officers Federation.

 

EXAMPLES

Here are examples of hours worked on a holiday and how these hours will be show on the non-exempt employee’s paycheck.

Example 1: Employee worked eight (8) hours M-F where Friday was an observed HOL. That would be 40 hours worked and eight (8) hours paid holiday.

HolPayExample_1

Employee’s paycheck will show 32 regular hours (REG), eight (8) holiday hours (HOL), eight (8) holiday worked 1.5 hours (HOLPY) and eight (8) FLSA overtime premium pay units (FP5)

Example 2: Employee worked eight (8) hours M-F where Friday was an observed HOL. That would be 40 hours worked and eight (8) hours paid holiday paid on the prior week.

HolPayExample_2

Employee’s paycheck will show32 regular hours (REG), eight (8) holiday worked 1.5 hours (HOLPY)

 

Example 3: Employee worked eight (8) hours M-SA where Friday was an observed HOL. That would be 48 hours worked and eight (8) hours paid holiday.

HolPayExample_3

Employee’s paycheck will show 32 regular hours (REG), eight (8) holiday hours (HOL), eight (8) holiday worked 1.5 hours (HOLPY), eight (8) TL-Overtime 1.5 hours and eight (8) FLSA overtime premium pay units (FP5)

Example 4: Employee worked eight (8) hours M-W, F, SA where Friday was an observed HOL and employee took Thursday off. That would be 40 hours worked and eight (8) hours paid holiday.

 HolPayExample_4

 

Employee’s paycheck will show 24 regular hours (REG), eight (8) holiday hours (HOL), eight (8) holiday worked 1.5 hours (HOLPY), and eight (8) TL-Overtime 1.5 hours

 

If you have questions please talk with your supervisor or union representative.

 

Published Aug 8, 2017

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