FAQs17489126.jpgRecently, two blog readers asked a question about the use of compensatory (comp) time in the private sector during a discussion about tracking exempt employees’ hours worked. One reader’s company tracked exempt employees’ hours worked, and permitted the employees to “flex” any hours worked in excess of a normal workweek, either later that week or in future weeks on an hour-for-hour basis, subject to work loads and scheduling requirements. Another reader wondered if banking “flex” time would be an illegal use of comp time by a private employer. Let’s debunk that myth: Can you offer comp time, flex time, or some other additional compensated time off to your exempt employees? Yes! This is legal and permitted by the Fair Labor Standards Act (FLSA) regulations.


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On May 8, the House of Representatives passed a bill that would allow private sector employers to offer hourly workers the option of taking compensatory (“comp”) time in lieu of paid overtime.  The bill seeks to amend the Fair Labor Standards Act to allow private sector employers to offer comp time at a rate of