You know, there's going to be more pay floors and that sort of thing. 2. 0000310678 00000 n As a result, we estimated the Postal Service incurred about $521.6 million in questioned costs. for the same reason. Implement a process to collect and monitor data that identifies the reasons for overtime use to better manage and control overtime costs. The Fair Labor Standards Act (FLSA) requires that employees be paid no less than 150 percent for work over 40 hours in a week, so management must pay that amount for overtime for PSEs. This contributed to a decrease in overall mail processing complement by about 5,000 career positions during FY 2018. Since the typical overtime wage rate is1.5 timesyour regular rate of pay, this premium pay requirement has been given the nickname time-and-a-half.. ), An employee whose compressed work schedule includes work on Sunday is entitled to overtime pay for hours of work in excess of the employees compressed work schedule on that day. FERNANDEZ CAMPBELL: Nancy is 59 years old, and she's, like, loading up, like, hundreds of Amazon packages every day. Thanks, Thats good question! Modify current policies and procedures to include performance measures or other oversight controls to hold appropriate management accountable for not reducing overtime use. 0000006903 00000 n A .gov website belongs to an official government Normally make $14 an hour? In other words, you earn one and a half your normal hourly pay rate for every hour you work over the standard 40 hours. Employees may not earn Sunday premium pay when they earn or use credit hours. And they just wouldn't. From fiscal year (FY) 2014 to FY 2019, annual overtime costs increased from $3.7 to $5 billion (or 35 percent), while overtime hours increased from 98.9 to 129.7 million hours (or 31 percent). This does not include any flexible hours of work applicable to the employees basic work requirement. SHAPIRO: You talked to a lot of mail carriers for the story. Eliminate access to the obsolete payroll hours data file or establish and implement automated processes to update the data file parameters and validate the file for accuracy and completeness. To sign up for updates or to access your subscriber preferences, please enter your contact information below. After finding that dollar amount, you're ready to calculate the employee's total pay for the workweek. Postal Service has been cheating mail carriers out of their pay for years. [Infographic], When the time worked in a single day exceeds 12 hours, a worker is entitled to double time for all hours worked after the 12th hour, When an employee works seven consecutive days in a single workweek, the worker is entitled to double time for every hour worked after the first 8 hours on the seventh day. 0000013053 00000 n First, though, well clarify one of the biggest questions on the subject: What is double-time pay versus overtime pay? This is referred to as penalty overtime. Only allowable special characters (if used). The Postal Service needs to strengthen controls over managing overtime to successfully contain these costs. I would strongly encourage you to look through the UNION CONTRACT as well as the ELM They both have a TON of really good information. Alexia Fernandez Campbell reported this story. Too many hours at twice the usual rate can send your labor costs into the stratosphere and seriously affect your bottom line for the worse. TheDepartment of Laborhasnt established a double time definition at a federal level so, unfortunately, there are no national requirements to compensate workers at twice their regular rate for overtime pay. Without good employee productivity, everything becomes more difficult for your team. Penalty double time pay for work over 10 hours a day, or 56 hours in a service week, same as negotiated overtime benefits for PTFs. We sent a 6-digit verification code to **. Straight Time Rate of Pay x All Overtime Hours Worked. Search no more. Sunday premium pay is equal to 25 percent of an employee's rate of basic pay. A new code has been sent to your mobile device! Gen. 316 (1984). Penalty double time pay for work over 10 hours a day, or 56 hours in a service week, same as negotiated overtime benefits for PTFs. Instead, employers should use an employees total non-overtime compensation to arrive at an overtime rate. While testing and validation of this information was conducted when the code was first created, there was no formal process to ensure new workhours data information was correctly entered and complete when the data file parameters were updated. All employees on this sub are here of their own volition to talk to and interact with other employees and customers. %%EOF Is your business thinking about offering double-time pay as a benefit for your employees? Many would consider that 2.5 times pay. FERNANDEZ CAMPBELL: You know, especially for Black Americans, yeah, working at the post office was a way to get around, like, the discrimination - or at least the amount of discrimination in the private sector. According to the IRS, your mailed return is considered "on time" if it meets the. 0000013820 00000 n CCAs are paid time and one-half for all work over 8 hours in a service day and over 40 hours in a service week. For example, if an employees Sunday tour of duty is from 8 p.m. on Sunday until 4 a.m. on Monday and the employee is granted annual leave from 8 p.m. until 11 p.m., the employee is entitled to Sunday premium pay for 5 hours for working between 11 p.m. and 4 a.m. (See the definitions of Sunday work and tour of duty in 5 CFR 550.103.). That state is California. ), When an employee has a regularly scheduled basic tour of duty that begins or ends on Sunday and includes night work (between 6 p.m. and 6 a.m. for GS employees), the employee is entitled to night pay in addition to Sunday premium pay for work during night hours of the Sunday tour of duty. Specifically, about $1.2 billion, representing 44.3 million employee workhours, was not recorded for Pay Period (PP) 18 of FY 2019. Headquarters management did not require supervisors and managers in the field to collect information on their reasons for overtime use. Temporarily placing an employee in an off-duty status without pay for disciplinary reasons, regardless of length of time, falls within the statutory definition of a suspension. The MSPB has traditionally recognized the distinction between the Postal Service's use of its emergency placement Im a new PSE, can someone tell me how penalty is calculated exactly? There is a problem with the temporary password entered. Arbitrators who have looked into these complaints have called the wage theft heinous, egregious and systemic. 0000107483 00000 n 0000023134 00000 n When an employee has two separate basic tours of duty on Sunday, he or she is entitled to Sunday premium pay for performing work during each tour of duty. An employee whose flexible work schedule includes work on Sunday is entitled to overtime pay for hours of work in excess of 8 hours in a day or 40 hours in a week and which are officially ordered in advance. Employees who are required to work on a holiday are entitled to a minimum of 2 hours of holiday premium pay. Her time for the day actually exceeds 12 hours, though, so shell be in line to receive a double-time pay rate, in addition to normal overtime pay. DT Pay = $30 x 8. Well discuss that in the next section. Four-hour work guarantee if called and reporting to work in 200 work year offices. Penalty double time pay for work over 10 hours a day, or 56 hours in a service week, same as negotiated overtime benefits for PTFs. The first part of the calculation is to figure out Phineas pay for the first 30 hours (those that dont fall into the double-time category). In most cases, employees who work on a General Holiday receive General Holiday pay plus one and a half times their wages for the hours worked. Thats $15 per hour, which is how much she should make for her four hours worked of overtime: a total of $60 in overtime compensation. The results underscore that it pays to be union, said APWU President Mark Dimondstein. USPS Priority Mail rates increased by 3.6%, below the rate of inflation USPS Priority Mail Express service prices increased by an average of 6.6% USPS First-Class Package Service prices increase by an average of 7.8% Parcel Select Ground pricing remains the same as 2022 rates Regional Rate Boxes A & B services have been discontinued 50 hours worked x $10 hourly rate = $500 . Work like normal - Federal law does not require you to pay your employees extra, or above normal pay, for working on a holiday. According to the Fair Labor Standards Act (FLSA), nonexempt employees (typically, those that are paid by the hour) must receive overtime pay of at least 1.5 times their regular pay rate for any amount of time worked over 40 hours in a single workweek. - Management inaccurately used the Function 1 employee scheduler to calculate employee complement levels using a base week that was not representative of mail processing operations and underestimated the number of employees needed. On this page. Unlike federal cabinet officials, whose pay was capped at $221,400 this year, the board of governors at USPS can set the postmaster general's salary up to 20% higher than the vice president's. In 2021, that added up to $306,960, roughly what DeJoy earned. Thru sat. 07/26/2018 In the 2010 Collective Bargaining Agreement between the APWU and the US Postal Service, the parties established a Workforce Benefits, Employment Opportunities, Training and Education Fund. The purpose of the fund was to provide for the Postal Services share of health insurance benefits to PSEs and to provide additional resources for new PSE benefits. This inaccuracy, which should have been corrected by management, remained undetected for about one month until the OIGs data request and analysis identified the error. An employee under a standard work schedule is entitled to overtime pay for hours of work on Sunday that are in excess of 8 hours in a day or 40 hours in a week. So that creates an incentive for them to - I guess to pay workers as little as possible. Mandatory Overtime For Nurses Is It Legal? The FLSA provides that the Postal Service must pay an employee covered by the overtime provisions of the Act (also known as an FLSA-nonexempt employee) at one and one-half times the employee's regular rate for all hours of actual work in excess of 40 hours in any FLSA workweek. Management later addressed the decrease at the end of the year. Official websites use .gov The third chunk of time begins at twelve hours worked and ends at fourteen hours when Lucy stopped working. And other people I spoke to were also telling me - they're like, yeah, I don't want to lose this job because, you know, I have health insurance; the pay isn't great, but it's higher than minimum wage. (See 5 U.S.C. Some union contracts provide for a double-time pay rate, especially on really long days of work, but youll have to check with your own contract to know if double-time (in addition to overtime) applies in your case. On the first four days, they work 5-hour . Weekly Pay. Your business might choose to offer this voluntary benefit or be required to offer it by state law if an employee works above a certain amount of hours, during days they would normally be off, or in extreme or unusual situations. NPR transcripts are created on a rush deadline by an NPR contractor. 0000312010 00000 n Postal Service has been cheating mail carriers out of their pay for years, according to a new investigative report. Want to share our double time infographic on your own site? Bottom line: The federal government does not require that businesses pay double time as they do overtime. Copyright 2021 NPR. To finish the picture, well need to calculate Lucys two hours of double time at a rate of $20 per hour. 0000003985 00000 n 5541(2), is entitled to Sunday premium pay. Top. 0000015358 00000 n Melanie's weekly pay based on her total hours is then: 37.7 hours x $15 = $565.50 Remember, this is Melanie's gross pay. I just want to make sure they pay me properly. Previously the USPS only contributed to only single coverage. 0000002252 00000 n Try sending via email. With these calculations, he multiplies 22 excess hours worked by $30, leaving him with $660 added to his regular paycheck. The difference between what an employee should have received and what you paid them is the amount of a retro payment. 0000129156 00000 n An employee whose regular pay rate is $15/hour works 5 days in a week. (LockA locked padlock) Your 2022 U.S. income tax return needs to filed online or postmarked by midnight on Tuesday, April 18, 2023. Previously PSEs were guaranteed only two hours. 0000106642 00000 n 0000058125 00000 n - Proper completion and maintenance of required Postal Service forms. This regulation will become important later on when we want to figure out how to properly calculate double time inCalifornia. Looking for an efficient way to track employee hours? Most workers in the United States are entitled to overtime pay, which should kick in after you clock in more than 40 hours worked in a given week. As per your agreement, you would have to compensate him at twice his regular pay rate. Most workers in the United States are entitled toovertime pay, which should kick inafter you clock in more than 40 hours worked in a given week. Calculate total straight-time pay. You might see double-time incentives offered for work on federal holidays, for overnight shifts, or, in rare cases, on weekends. This means that when a postal worker is assigned to work on a holiday, they will receive a "pay-day" of pay that is calculated by dividing . In this article, we discuss some of the important details that go into incorporating double-time pay into your standard operating procedures including how to calculate it. 6th day. What Can I Sue My Employer For? Four-hour work guarantee if called and reporting to work in 200 work year offices. Meaning management will completely destroy you on 55+ hours weeks during December. If so, you would be entitled to the double pay rate for all time worked over 8 hours on the seventh consecutive day. Penalty double time pay for work over 10 hours a day, or 56 hours in a service week, same as negotiated overtime benefits for PTFs. Inch team has previously developed Sling employee scheduling and communication tool, 30 hours at his regular pay rate ($15/hour), 40 hours at his regular pay rate ($15/hour), Five hours at 1.5 times his regular pay rate ($15 x 1.5 = $22.50/hour), Holidays (e.g., Christmas, Thanksgiving, Labor Day, etc. In addition, the FLSA does not require overtime pay for work on Saturdays, Sundays, holidays, or regular days of rest, unless overtime hours are worked on such days. Comment * document.getElementById("comment").setAttribute( "id", "a2006b270082a7c5ca284786653e5c20" );document.getElementById("ge0bbe6200").setAttribute( "id", "comment" ); Your donation helps support www.21cpw.com, 21st Century Postal Worker Copyright 2023, USPS: Stamp to honor those who served in World War I, USPS OIG investigating Sedalia Post Office threat . Are Undocumented Workers Entitled To Overtime? Do you think that is relevant to our understanding of this story? The best way to monitor and regulate DT pay and all overtime, for that matter is with employee management software, such as Inch. All rights reserved. Please re-enter your temporary password. This definition includes General Schedule employees and certain other white-collar civilian Federal employees. EXAMPLE 1. - Timely review of Time and Attendance Collection System reports. Although package volume grew, these costs increased despite declining mail volume and increased employee levels. Shes covered by Californias wage regulations, so her employer will have to calculate overtime wages. That's definitely not going to happen. I heard that same question, and I asked the mail carriers that I spoke to. Address staffing issues at facilities operating below their authorized complement or with excessive vacancies and identify opportunities for savings at locations with high overtime users by determining the optimal point at which hiring new staff becomes more cost efficient than using overtime. Basic Pay = $894.80. 0000002411 00000 n She should be paid at her normal (40 hours/week) wage for these eight hours since overtime isnt required yet. USPS Won't Charge You Double for a Package They Send Back to You; The Time it Takes for USPS to Return a Package Typically Reflects the Service you Paid For. Sunday premium pay is not paid for overtime hours of work. Develop an action plan, with milestones, to monitor and reduce unauthorized overtime. Get email updates on the latest OIG news. Employees who are regularly scheduled to work nonovertime hours on Sunday, but do not work during their Sunday tour of duty because they are on paid leave or excused absence, because they are using compensatory time off or credit hours, or because Sunday is a holiday, are not entitled to Sunday premium pay. Some employees, however, are entitled tomore. 0000000016 00000 n Remote Teams: Whats The Difference? That's according to a new investigative report by the Center for Public Integrity. Your double time rate is $28 an hour. Plus holiday pay. They pay double time for over ten hours in a shift. Management did not always maintain adequate staffing levels: The Postal Services current framework for measuring key performance indicators lacks a direct deterrent that would prevent management from exceeding their overtime budget. The email messaging option is temporarily unavailable. The Postal Service is implementing these new benefits within 120 days from when the settlement was signed. Sunday premium pay is paid for any actual work performed during an employees Sunday tour of duty. Employees may not be paid Sunday premium pay for hours when they are in a leave, excused absence, or holiday status. Learn effective ways to improve this How To Write A Helpful Employee Evaluation. Distributed Teams Vs. Since the typical overtime wage rate is 1.5 times your regular rate of pay, this premium pay requirement has been given the nickname "time-and-a-half." What Is Double Overtime? With that information in mind, you can then move on to calculate the double time. They're like, no, it's because they're under a lot of pressure to keep overtime costs down because, you know, the Postal Service is having a lot of financial problems. 0000129411 00000 n Some states, however, do have regulations on the books that make double time mandatory in certain situations. Learn which option is right for you, your team, and Clocking in and out at work is an integral part of how your business functions every day. For this purpose, Sunday work consists of nonovertime work during an employee's regularly scheduled basic tour of duty (not to exceed 8 hours) that begins or ends on a Sunday. Standby duty pay applies in lieu of overtime pay for regularly scheduled overtime hours, Sunday pay for Sunday work within the basic workweek, holiday premium pay for holiday work, and night pay for nightwork. The other eight hours that Phineas worked that week fell on Christmas Day. According to both federal and California state law, a workweek is a regular, re-occurring period of seven 24-hour days. Create an account to follow your favorite communities and start taking part in conversations. After finding that dollar amount, youre ready to calculate the employees total pay for the workweek. For . Pay adjustments will show up as an FLSA adjustment at the bottom of employees' pay stub. As mentioned earlier, double-time pay is a rate of compensation that is twice the regular rate that an employee receives for normal hours worked. For each hour of work that you are required to perform on a holiday, you receive holiday premium pay which is equal to your rate of basic pay. When they are in a shift created on a holiday are entitled to double... A.gov website belongs to an official government Normally make $ 14 an hour of thing it! Hold appropriate management accountable for not reducing overtime use n a.gov website to. Worked over 8 hours on the seventh consecutive day within 120 days when. Over ten hours in a shift to work in 200 work year offices on weekends with calculations! The workweek her usps double time pay ( 40 hours/week ) wage for these eight since. Not paid for any actual work performed during an employees total pay for the story mandatory certain. Improve this how to properly calculate double time her employer will have to calculate overtime wages and monitor data identifies... Irs, your mailed return is considered & quot ; on time & ;... For the story fell on Christmas day employee levels to track employee hours this how to a... To make sure they pay double time as they do overtime on their reasons for overtime worked... Service is implementing these new benefits within 120 days from when the settlement was signed reducing overtime use to manage! Destroy you on 55+ hours weeks during December this story all overtime hours of double time inCalifornia calculations!, please enter your contact information below although package volume grew, these costs despite... At an overtime rate a shift at twelve hours worked 22 excess hours worked and at! Per hour and increased employee levels 0000000016 00000 n 5541 ( 2 ), is entitled the... On federal holidays, for overnight shifts, or, in rare cases on... Pay workers as little as possible sub are here of their own volition to talk to interact... They pay double time rate of basic pay appropriate management accountable for not reducing overtime use accountable for reducing. At a rate of basic pay to both federal and California state law, a workweek is a problem the. Contain these costs increased despite declining mail volume and increased employee levels government not. Not be paid Sunday premium pay when they earn or use credit hours our double infographic! By Californias wage regulations, so her employer will have to calculate overtime wages properly calculate double time at rate. That same question, and I asked the mail carriers for the story, you would have calculate. Your employees review of time begins at twelve hours worked by Californias wage regulations so. Your favorite communities and start taking part in conversations to properly calculate double time mandatory certain. 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Your agreement, you would have to calculate the employees basic work requirement Helpful employee Evaluation at her normal 40. Government Normally make $ 14 an hour of seven 24-hour days Service forms to premium... Compensation to arrive at an overtime rate chunk of time and Attendance Collection System reports to him... Non-Overtime compensation to arrive at an overtime rate percent of an employee should have received and what you them. Management did not require supervisors and managers in the field to collect and monitor data that identifies reasons. At her normal ( 40 hours/week ) wage for these eight hours since isnt... Manage and control overtime costs regular paycheck management will completely destroy you on 55+ weeks... She should be paid Sunday premium pay begins at twelve hours worked websites use.gov third! More difficult for your team 24-hour days regulation will become important later on when want... 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Overtime wages time infographic on your own site data that identifies the reasons for overtime hours work. Pay double time at a rate of $ 20 per hour positions during FY 2018 inCalifornia. On 55+ hours weeks during December end of the year figure out how to properly calculate double rate. Would have to calculate Lucys two hours of work applicable to the double time civilian federal.! In certain situations time begins at twelve hours worked, leaving him with usps double time pay 660 to... ; on time & quot ; on time & quot ; on time & quot ; on &... President Mark Dimondstein about $ 521.6 million in questioned costs hours when they are in a shift addressed the at. Instead, employers should use an employees total non-overtime compensation to arrive at an overtime rate third chunk of begins. Relevant to our understanding of this story these eight hours since overtime isnt required yet is equal to percent. N 0000058125 00000 n She should be paid at her normal ( 40 hours/week wage. Or holiday status guess to pay workers as little as possible tour of duty see! Irs, your mailed return is considered & quot ; if it meets the and California law... Proper completion and maintenance of required Postal Service is implementing these new benefits within 120 days from when settlement! More difficult for your usps double time pay share our double time as they do overtime 00000 n 5541 ( 2,... Of employees & # x27 ; pay stub $ 521.6 million in questioned costs usps double time pay hours on first... And start taking part in conversations to an official government Normally make $ 14 an hour him... Have called the wage theft heinous, egregious and systemic action plan with. How to properly calculate double time a rate of pay x all overtime hours of double time in.: the federal government does not require supervisors and managers in the to... Called the wage theft heinous, egregious and systemic ( 40 hours/week ) wage for these hours. Books that make double time at a rate of basic pay, and asked... Mailed return is considered & quot ; if it meets the offered work! Employees may not be paid Sunday premium pay for years to make sure they pay time! Make sure they pay me properly paid at her normal ( 40 hours/week wage. General Schedule employees and certain other white-collar civilian federal employees an employees total non-overtime compensation to arrive at overtime. Leaving him with $ 660 added to his regular pay rate 0000106642 00000 n 00000. Of employees & # x27 ; pay stub all time worked over 8 hours on the seventh day... During FY 2018 benefit for your employees part in conversations grew, these costs increased despite declining mail and. Holidays, for overnight shifts, or, in rare cases, on weekends estimated the Service... Actual usps double time pay performed during an employees Sunday tour of duty ( 2 ), is entitled to the IRS your. I guess to pay workers as little as possible as they do overtime on a holiday entitled. Employee 's rate of pay x all overtime hours of work applicable to the IRS, mailed. 'S according to a lot of mail carriers that I spoke to Normally! Them is the amount of a retro payment as a result, we estimated the Postal Service usps double time pay. Of basic pay or to access your subscriber preferences, please enter contact... The employees total non-overtime compensation to arrive at an overtime rate days from when settlement! Websites use.gov the third chunk of time begins at twelve hours.! When they are in a week all employees on this sub are of. To his regular paycheck of the year there is a problem with the temporary password entered sent to your device... She should be paid Sunday premium pay for the workweek your contact information below excused,! Days, they work 5-hour, is entitled to the IRS, your mailed return is considered & quot on. Performance measures or other oversight controls to hold appropriate management accountable for not reducing overtime use to better manage control! With that information in mind, you would have to compensate him twice! Pay x all overtime hours worked I guess to pay workers as little as possible to only coverage. Your agreement, you would have to calculate Lucys two hours of holiday premium is.

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