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Can we offer comp time instead of overtime pay for nonexempt employees who work OT?

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in Leaders & Managers,Management Training

Q. Can we offer our nonexempt employees comp time instead of overtime pay during a pay period? If we can, do we have to offer it at one and a half times, just like overtime is paid? For example, if an employee works one hour of overtime, do we have to give him one and a half hours of comp time?

A. You shouldn’t offer comp time to nonexempt employees if you are a private (nongovernmental) employer.

For nongovernmental employees, comp time cannot be used as a substitute for paying nonexempt employees overtime for hours worked over 40 in a week.

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