Loading...
HomeMy WebLinkAboutD-1149 Employee Overtime RatesOrdinance No. D-1149 TO ESTABLISH THE METHOD FOR CALCULATING OVERTIME RATES OF CITY CIVILIAN AND SAFETY EMPLOYEES AN ORDINANCE OF THE COMMON COUNCIL OF THE CiTY OF CARMEL, INDIANA, AMENDING CHAPTER 2, ARTICLE 1, SECTION(S) 2-50-F-1 OF THE CARMEL CITY CODE BY THE INCLUSION OF SECTION(S), ENTITLED F. BASE RATE CALCULATION WHEREAS, it has become necessary to define how the overtime rate is established and, WHEREAS, the practice over the last nine years of calculating the rate for overtime and including longevity pay is not authorized by the Carmel City Code, and, WHEREAS, the City has overpaid employees monies that were not authorized by ordinance over the past nine years, and, WHEREAS, it is injurious to the employees' financial and mental well being to reduce compensation without proper notification, and, WHEREAS, the Indiana State Board of Accounts stated in November of 1994 that the best way to handle this matter is for the Common Council of the City Of Carmel to approve an ordinance which would establish the method for calculating overtime rates. NOW, THEREFORE, BE IT ORDAINED BY THE COMMON COUNCIL OF THE CITY OF CARMEL, INDIANA, AS FOLLOWS: SECTION 1. Chapter 2, Article 3, Section(s) 2-50 of the Carme1 City Code is/are heraby amended to read as follows: F. Base Rate Calculation: The City of Carme1, in determining all wages and compensation of City employees, shall comply with the Fair Labor Standards Acts of 1938 and as amended. Section II. All prior Ordinances or parts thereof inconsistent with any provision of this Ordinance are hereby repealed. Section III. This Ordinance shall be in full'force and effect from December 31, 1994, and after its passage and signing by the Mayor. PASSED BY THE COMMON COUNCIL OF THE CITY OF C EL, INDIANA, THIS ~_~__ DAY OF ~t~ , 1995· ~ ~d~ng'Off~cer Ted Jo , Pres.. · ATTEST .- 3u~a~ uu~es, g~rk-Treasurer PRESENTED BY ME to the Mayor of the City of Camel this day of ATTE S T: Ted Johnson, Mayor Overtime Compensation .- - ¶599 ", , ,::,.i. , 14. Bow should overtime be calculated for part-time employees? " Under the FLSA, overtime premiums need not be paid to employees until they work in excess oF 40 hours a week. There is no requirement in the FLSA to pay overtime For hours worked in excess oF 8 per day. Pan-time workers may receive comp time for hours worked up to 40 hours in a week. 15. Must an employee be paid time-and-a-half for working on holidays? There is no requirement under the FLSA that employees be given premium pay for holidays, weekends, or evening shifts. Overtime is only required for time actually worked in excess of 40 hours per week. Under the FLSA, extra compensation provided by a premium rate of at least time and one-halF which is paid For work on Saturdays, Sundays, holidays or regular days of rest, may be treated as an overtime premium (:29 C.F.P,, §778.203). 16. If an ambulance crew works either a 24 hours on, 48 hours off shirt or a 48 hours on, 48 hours off shift, when must overtime be paid? Ambulance and rescue service employees whose services are deemed substantially related to ~irct'ighting or law enforcement activities would qualify for the section 7(k) exemption for overtime which permits the compu- tation of hours worked on the basis oF a work period and which bases the overtime requirements on a work period concept. (Most emergency medical services (E1VIS) qual!Fy.) Under section ?(k) the work period must bc not less than 7 nor more than 28 days. The work period, rather than the shift cycle, would determine when overtime must be paid. EMS personnel who are pan oF the municipal fire department are entitled to overtime over 212 hours in a 28-day period; if connected with the police department, overtime is required for time worked over 171 hours in the work period. if the EMS is independent of the police and fire departments, most likely the 212-hour 28-day work period would apply, although this is not certain. 17. If all payroll records list hourly rates, but personnel policies specifically exclude certain employees from overtime because they are considered "salaried," would these employees be exempt from coverage? These employees would only be considered exempt From the minimum wage and overtime provisions iF they met the criteria oF the long or short tests For administrative, professional, or executive employees. In addition, they must be paid on a salary basis. This means, among other things, that they cannot routinely be "docked" for being absent for portions of a workday. 18. Is longevity pay (extra pay roe seniority) included in the regular rate of pay? ~. ~ ~¢~,.? The FLSA requires inclusion into the regular rate of pay of "all remuneration for employment paid to, or ;~'~'behalf of, the employee," except for: · sums paid as gifts or ~ri.fcrelio~z~zr7 bonuses (longevity pay is not discretionary). · payments made for occasional periods when no work is performed due to vacation, holiday, or illness. · sums paid for benefit plans, including profit sharing plans or trusts providing similar bcnel'its. · contributions pursuant to a bona fide plan for providing old-a~c, retirement, life, accident, or health insurance or similar benefits. · premium pay for hours in excess of 8 in a day or in excess of 40 in a week or in excess oF the cmployee's normal working hours. · premium pay of at least time-and-one-half for work on Saturdays, Sundays, and other special days. · premium pay of at least time-and-one-half for hours in excess oF the basic day or workweek established in a collective bargaining agreement or employment contract. Thus, longevity pay would be included in the regular rate. 19. Bow is the regular rate or pay calculated roe pieceworkers? There are two acceptable ways or calculatin~ the regular rate for pieceworkers. One is to divide the total weekly earnings by the total number oF hours worked in the same week; the employee is entitled to payment oF one-half his regular rate for each hour worked over 40, in addition to the full piecework earnings. The second way to pay pieceworkers For overtime is simply to pay time-and-a-halF the piece rate for all "pieces" produced or worked durin~ the overtime hours. © Thompson Publishing Group, Inc. July 1987 Tab 500 · Page 103