How can an employee choose overtime leave or overtime pay?
FLSA requires the default to be overtime pay. Overtime leave may be granted in lieu of overtime pay when an employee completes the Overtime Leave Employee Agreement. Open enrollment for how overtime is handled occurs once be year in late summer. All non-exempt employees (i.e. overtime eligible) have the option of being paid for their overtime (which is the default) or to accumulate their overtime as leave. An election commits the employee to their choice for one year until the next open enrollment period. This means that if the non-exempt employee elects leave accumulation he or she will receive leave and not pay for any overtime worked during the next academic year.
