Dear Timekeepers and Payroll Managers,
HR Employee & Labor Relations sent an email last Wednesday to HR Business Partners and Control Points announcing the new CX overtime rules effective 11/27/2022 in accordance with the recently ratified UC/Teamsters (CX) collective bargaining agreement.
The calculation changes have been implemented centrally in Kronos and no action is needed by departments. Kronos pay rules have been automatically updated to reflect the new calculations and weekly overtime pay rules have been decommissioned. Any employee pay rule updates needed as a result have also been made centrally.
Below is a summary of the changes from HR’s email:
- Any hours worked over 8 hours in a day will be paid at 1.5 times the regular rate, on the employee's regular shift.
- Any hours worked over 10 hours in a day for employees regularly scheduled to work a 4/10 schedule will be paid at 1.5 times the regular rate. Because the employee is regularly scheduled to work 10 hours in a day, they do not earn 1.5 times their regular rate until they exceed their regularly-scheduled 10 hours.
- Any hours worked over 12 hours in a day for all schedules will be paid at 2 times the regular rate.
- The requirement that an employee will only earn premium overtime pay if they work 40 hours per week is no longer in effect. Thus, CX employees can no longer "flex" their time within the week for hours of work missed by making up the time earlier or later in the week.
- E.g.: If an employee works 7 hours on Tuesday and works 9 hours on Thursday to make up for the missed hour on Tuesday, they will now be paid premium overtime for the extra hour on Thursday since totals are now calculated per day, not per week. (Note: if an employee were regularly scheduled to work one 7 hour day and one 9 hour day every week, no premium OT would be paid, as they are not working more than their regularly scheduled shift.)
Any questions about the CX agreement can be directed to HR Leave Administration through ServiceNow.