Extra Compensation (Salaried Non-Faculty)
|No. 3-48||Rev. 10-02-12||Date 8-17-77|
- PPM 3-2, Employee Definitions
- PPM 3-18, Fair Labor Standards Act (FLSA)
A. Extra Compensation
Payment for services rendered in addition to an employee's regular salaried effort
B. Funds Administered by the University
All funds administered by the University, including general funds, grant and contract funds, restricted and unrestricted funds, auxiliary funds and other agency funds
C. Non-exempt Staff
All staff, either admin non-exempt or non-exempt, whose position does not qualify for exemption from the overtime provisions of the Fair Labor Standards Act
This policy applies solely to funds administered and paid by the University.
B. Extra Compensation Rates, Limitations and Approval Authority
1. The University has the right to pay extra compensation to salaried non-faculty employees who work significant additional time beyond their normal salaried duties.
2. The rate of extra compensation will be consistent with: 1) the overtime rate if required by law, 2) the current base salary rate (mandatory method for grants and contracts), 3) the established rate for the type of work being performed, or 4) a rate specifically approved by the supervising vice president or equivalent after receiving advice from the Human Resource Office.
3. Total extra compensation in any fiscal year is subject to the following limits and approvals:
a. The supervising dean-level administrator must review and approve in writing up to 15% of base salary.
b. The supervising vice president/provost must approve in writing extra compensation in excess of 15% of base salary.
c. Amounts in excess of one-third (33 1/3 percent) of base salary should be treated as extraordinary exceptions and should be infrequent, temporary and based on circumstances where critical service needs of the University cannot be met by standard employment processes.
Regardless of the limits noted above, staff may teach one class or up to four credit hours a semester with the written approval of the dean-level administrator. If teaching more than four credit hours, the limits shown above apply.
C. Other Considerations
1. In their primary assignment, employees should not be expected to continually exceed the typical, average work-week, with or without extra compensation.
2. Services rendered in addition to an employee's primary assignment (including teaching responsibilities) are not to impede the discharge of the employee's normal duties during regularly scheduled work hours.
3. The supervisor over the area where the employee has his/her primary assignment shall monitor and document extra compensation to ensure employees do not receive dual compensation for the same effort or exceed the limitations outlined in this policy.
4. In addition to the policies outlined in this document, employees whose base salaries and/or extra compensations come from grant and contract funds are subject to the sponsor's regulations and require the approval of the Office of Sponsored Projects for payment of extra compensation.
5. All overtime payments to admin non-exempt and non-exempt staff must be consistent with PPM 3-2a. Non-exempt staff must consult with Human Resources regarding overtime issues before accepting a teaching position.
6. The vice president of Administrative Services will periodically review the patterns of extra compensation and advise the President's Council on the overall impact and nature of such payments.