Human Resources Hotline

As a member of The Employers' Association, you have ready access to our staff of professionals. We routinely handle calls, requests, and problems on all matters dealing with employer/employee relations. We will promptly answer your question. Where else can your managers call to receive reliable assistance without the pressure of a "time meter?"

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Frequently Asked Questions:

Q: What is the definition of a part-time employee in regards to the numbers of hours they work per week under the Fair Labor Standards Act (FLSA)?

 A:   There is no federal law that defines the term “part time” or specifies the number of hours an employee must work per week to be considered part time as opposed to full time.  Many employers classify part-time employees as those who regularly work fewer than 30 hours per week.  It is up to employers to determine what definition of part time best suits their objectives.  Part-time hours can be scheduled in a variety of ways; for example, working one-half day every day, two or three full days each week, one full week on and then one week off, or combinations of these approaches.

(BLR 2007)

Q:What hours must I count when figuring overtime?

A: Employees who are not exempt from the Fair Labor Standards Act are entitled to overtime pay at time-and-one-half their regular rate of pay for all hours worked exceeding 40 per week.

You should count as overtime any hours employees spend performing primary work duties, as well as time spent standing by at your company's request. You also have to include hours employees spend performing unauthorized work, if that work benefits your company and a supervisor knows, or has reason to believe, the work is being done and permits employees to do it.

You must include in overtime calculations time spent in the following:

• primary work duties exceeding 40 hours a week;

• preliminary or postliminary duties (preparation done before or after work) if the activities are specified under contract or are customarily considered work;

• travel between work locations during the work day;

• work-related travel on weekends or holidays that corresponds to an employee's normal working hours;

• mandatory training;

• meal breaks, if the employee is frequently interrupted; and

• vacation, sick, or personal leave, if your company has an established practice of including such time in overtime calculations.

You generally do not have to include the following time when figuring overtime pay:

• all meal periods of at least 30 minutes, if the employee is completely relieved of work duties;
• the time it takes to travel or commute between home and work;
• voluntary training or meetings not directly related to the employee's primary duties that take place outside the employee's regular working hours (although training is not considered voluntary if failure to attend would have a negative impact on employment);
• paid vacation;
• holidays; and
• sick leave.

(BNA 2007)

Q: What employee benefits are we required to continue during an FMLA leave?

A: The following employee benefits must be continued during a designated Family and Medical Leave Act (FMLA) leave: group health insurance, group life insurance, and bonus eligibility.

Group Health Insurance. If you provide group health benefits to your employees, you must continue coverage on the same terms during the leave. If an employee informs you that he or she isn't returning to work at the end of the FMLA leave period, coverage can be terminated with proper notification. Generally, the employee's portion of group health insurance premiums is deducted from the paycheck. You should make provisions for employees on unpaid leave to continue paying their portion of the health insurance premiums.

You also can cancel the employee's health insurance coverage if he or she is more than 30 days late with his or her portion of the insurance premium, provided you give the employee 15 days advance notice in writing. Be sure you check your state law before canceling an employee's health insurance. Under some state laws, you must give the employee more than 15 days advance notice of the cancellation.

Group Life Insurance. If an employee on FMLA leave opted for group-term life insurance, you must continue such insurance coverage to ensure that eligibility remains. However, you are permitted to recover any cost of continuing group-term life insurance during the time the employee is on leave. If the employee normally pays a portion of the premium for that insurance by payroll deduction, you'll need to make arrangements to receive those payments during the leave before the employee's leave begins.

Bonuses. If the employee was eligible for any bonuses before the FMLA leave, these must be paid (or eligibility continued) upon return to work. For example, if the employee was entitled to a length-of-service bonus before taking the leave, the employee must remain eligible for such a bonus upon returning to work.

To the extent a bonus is discretionary; it would remain discretionary with respect to an employee who is out on FMLA. In certain industries, where bonuses are tied to earnings and are a standard part of each employee's compensation package, it makes sense to consider pro-rating a bonus for an employee on FMLA leave. In this way, you take into account the employee's contributions for the portion of the period they were present. This will be particularly important if you want to encourage your employee to return to work upon the close of the FMLA leave.

FMLA affords up to 12 weeks unpaid leave for employees suffering from a serious illness, such as cancer, or to care for a sick relative or newborn or newly adopted child (29 U.S.C. § 2601 et seq). The FMLA applies only to employers with 50 or more employees within a 75-mile radius and to employees who have worked for the employer for 12 or more months (need not be consecutive), who have worked at least 1250 hours in the past 12 months.

Several states have family leave statutes. If your state law requires that employers continue more benefits during such a leave, you must comply with the state law as well.

(BNA 2007)

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