1702 - Arduous Pay (Historical View)
** Effective: 11/18/2016 1:02:10 PM - 12/5/2016 1:58:26 PM **Status: Active
Change Notes
Policy Created.
Category
Compensation
Audience List
- Employee Relations Officers
- Labor Relations Officers
- Personnel Officers
- Personnel Transactions Supervisors
Synopsis
This policy:
- Explains when an employee is eligible for Pay Differential 62, Arduous Pay.
- Describes what circumstances make an employee ineligible for Pay Differential 62.
- Explains that retired annuitants are ineligible to receive any pay differentials.
- Describes Form 777, required to be filled out when departments approve arduous pay.
Introduction
Effective July 1, 1994, appointing authorities were provided the discretion to provide additional compensation for employees exempt from the Fair Labor Standards Act (FLSA) who perform arduous work that exceeds the normal demands of state service employment. CalHR provides the rate of pay, eligibility duration, criteria, and instructions for payment requests.
Statement
Pay Differential 62 addresses the issue of arduous pay for Bargaining Units 1, 7, 9, 10, 17, 19, 21 and excluded employees who are exempt from FLSA. An employee is eligible for this pay differential if they are assigned work that exceeds normal work demands. The work must be extraordinarily demanding, time consuming, and significantly exceed their normal workweek. The employee cannot be entitled to receive any other sort of compensation such as overtime. Eligible employees are FLSA-exempt employees who do not receive compensation in recognition of hours worked in excess of 40 hours per week (i.e., managers, supervisors, and other FLSA-exempt employees). The duration of the arduous period must be at least two weeks or more.
To be eligible, excluded employees who are exempt and represented employees who are exempt from FLSA and assigned to Work Week Group E may receive up to four (4) weeks of pay per fiscal year if all of the following conditions are met:
- There is a nonnegotiable deadline or extreme urgency;
- Work exceeds normal work hours and normal productivity;
- Work is unavoidable;
- Work involves extremely heavy workload;
- Employee is eligible for no other compensation, and
- The circumstances that support this pay differential are documented.
Departments have delegated approval for excluded employees who are exempt. CalHR’s approval is required for any payment of represented employees who are exempt for FLSA and assigned to Work Week Group E.
Retired Annuitants are not eligible to receive arduous pay. Government Code section 21224 prohibits retired annuitants from receiving any other form of compensation other than their hourly pay rate. A retired annuitant’s hours are not to exceed the maximum monthly base salary paid to other employees performing comparable duties. Therefore, they are not eligible to receive any pay differentials.
Although departments have delegated authority to approve Pay Differential 62, they are required to fill out Form 777, documenting the circumstances, assessment and rationale behind all Pay Differential 62 approvals. A new Form 777 should be filled out for every employee receiving the pay differential, every time an employee is approved to receive a new pay differential, and every time an employee wants to extend their arduous pay. Extensions are only granted in rare circumstances. Departments must keep the Form 777 on file and retain the form for five years after the approval date.
Application
To fill out Form 777, follow the directions listed on the form itself and send it to the Personnel Management Division (PMD) Analyst at CalHR for approval.
Authorities
Resources
Forms
- CalHR 777 : Arduous Work Pay Request
PML
- PML 1994-068: PML 1994-068 - 12/9/1994 - Pay Differential for Excluded Employees (Managers, Supervisors and Confidential) Who Are Exempt From FLSA (in Work Week Group 4C)
- PML 2013-006: PML 2013-006 - 1/18/2013 - Arduous Pay Update and Reminder
- PML 2013-011: PML 2013-011 - 3/4/2013 - Retired Annuitants and Pay Differentials Eligibility
Authorized By
Contact Person
Personnel Management Division
Personnel Program Consultant,
, Personnel Management Division
Phone: 916-324-3367
Fax: 916-327-1886
Email: pmd@calhr.ca.gov