MEMO
TO: All Employees
FROM: Chief Executive Officer
DATE: September 21, 2014
SUBJECT: NEW POLICY OF COMPENSATORY TIME OFF
As you all know, most of the employees who work in this office receive salary at the end of the month. However, no employee receives an overtime pay, even when you are at your workstations beyond five o’clock. Last week, the executive committee met and proposed to institute a policy of compensatory time off. This policy aims at compensating hours that employees may have spent with being rewarded, and this will work depending on the departmental structure of this company (Chief Officer, 2011).
This is what the committee proposed in the new policy:
- If any employee extends the weekly basic 40-hour work by two or more hours, he or she is permitted to take the same number of hours off on another day.
- Even after taking an off, one is still entitled for the full rate pay.
- To qualify for a compensatory time off, the employee must get an approval from the supervisor.
- No employee will be allowed for a time off when he or she is urgently required to undertake an important project.
This policy is expected to take effect starting from next month, that is, the full first week of the month. It is fundamental to note that this policy is not retroactive, as some of you may tend to think. No employee will receive any compensatory time off for additional hours he or she may have already worked, as the policy is not yet effective.
The company would like to comply with FLSA auditors, who instruct companies to pay employees for the compensatory time (Hirsch, et al, 2009).Thank you for your continue support that you have demonstrated for this company, hoping that new policy would motivate you to work even harder.
References
Chief Officer: Principles and Practice (2011). Sudburry: Jones & Bartlett.
Hirsch, J. M., New York University Annual Conference on Labor (1997- ), & Estreicher, S. (2009). Compensation, work hours and benefits: Proceedings of the New York University 57th Annual Conference on Labor. Austin [Tex.: Wolters Kluwer Law & Business.