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HomeMy WebLinkAboutAgenda - 01-04-1993 - VIII-C 1 O R A N G E C O U N T Y BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: January 4, 1993 Action Agenda Item # SUBJECT: Personnel Ordinance Revision - Holiday Pay DEPARTMENT: Personnel PUBLIC HEARING: Yes X No ATTACHMENT(S) : INFORMATION CONTACT: Elaine Holmes, Personnel Director 1 - Draft Revised Article IV, Section 4 .0, "Holidays TELEPHONE NUMBERS: and Holiday Pay" Hillsborough - 732-8181 Durham - 688-7331 2 - Current Article IV, Mebane - 227-2031 Section 4 .0 Chapel Hill - 967-9251/968-4501 PURPOSE: To propose revision to the Holiday Pay section of the Orange County Personnel Ordinance. BACKGROUND: In response to proposals from the Sheriff and EMS, County staff have completed a review of the holiday pay policy. The review has focused on pay and time off received for work on a County holiday. The Personnel Ordinance currently provides that when an eligible employee works on a holiday the employee receives time and one half off for each hour worked on the holiday in addition to regular pay. Experience in the Sheriff' s Department and EMS has been that current levels of staffing make it difficult for the employee to take accumulated time off. To help with this situation, the County has been paying for the "one half" portion of the time and scheduling the remaining time as time off. Even with this arrangement, these departments have continued to experience difficulty with the current policy. Specifically: -Employees accumulate time off which they have difficulty taking because of work requirements. -When such time off is taken, it results in significant cost for overtime and temporary wages to provide staff coverage for the time the employee is off duty. 2 To respond to these issues, the draft revised Personnel Ordinance section on Holidays and Holiday Pay (Attachment 1) has been developed. It provides that when an eligible employee works on a holiday the employee receives holiday pay as well as pay for the hours worked and does not receive time off. The examples below compare the current policy and draft policy as to compensation for hours worked on a holiday. EXAMPLE - CURRENT POLICY Joe Smith is regularly scheduled to work eight hours each workday. He works eight hours on July 4, an Orange County holiday. Mr. Smith receives his eight hours regular pay and earns 12 hours time off (8 x 1 1/2 ) . Under the current practice he is paid for four of the 12 hours and takes the remaining eight hours as time off. EXAMPLE - DRAFT POLICY Joe Smith works eight hours on July 4, an Orange County holiday. Mr. Smith receives eight hours holiday pay and eight hours regular pay. He receives no time off at a later date. Two other key changes in the policy are: -If the employee is required to work on a holiday, he or she is guaranteed pay for at least the regularly scheduled work hours. (Item 4.4.3) -If the County holiday falls outside of the employee' s regular work schedule, the employee receives holiday pay for the holiday and does not receive time off on another date. (Item 4 .3.5) In summary, the employee under the current policy receives 20 hours of compensation ( 12 hours as pay and eight hours as time off) for eight hours worked on a holiday. Under the draft policy, this would be reduced to 16 hours compensation, all of which is received as pay. The employee receives a better benefit in that he or she is receiving an additional. four hours pay instead of the time off which it has been difficult to take. The policy change results in cost savings in the PArF 1-(1.-- 3 Sheriff' s Department and EMS. Based on full staffing on holidays and the actual cost of time off, the savings is estimated to be $50,000 to $75,000. The savings is realized from reduced cost for overtime and temporary wages. There is an exception requested to the above proposal for the Public Works department. Public Works has a long standing practice of paying an employee who works on a holiday for all of the compensation earned and not providing time off. If a Public Works employee works eight hours on a holiday, he or she receives pay for the full 20 hours of compensation earned rather than receiving 12 hours as pay and eight hours as time off. To provide a transition period for affected Public Works employees to the new policy and also to provide time to implement alternatives to requiring that the affected employees work on holidays, it is proposed that Public Works continue under the current policy until January 1, 1994 and at that time implement the revised holiday pay policy. RECOMMENDATION: The Manager recommends the Board adopt the Attachment 1 revision to the Personnel Ordinance effective January 1, 1993 with the transition period until January 1, 1994 for Public Works employees. • Attachment 1 4 DRAFT REVISED ARTICLE IV, SECTION 4 .0 OF THE ORANGE COUNTY PERSONNEL ORDINANCE 4 .0 Holidays and Holiday Pay (Effective January 1, 1993 ) (New)This policy covers the observance and payment of holidays. 4 . 1 Holidays (Old 4.1 Orange County grants 11 holidays each year as Revised) follows: New Year' s Day Independence Day Martin Luther King, Labor Day Jr. ' s Birthday Thanksgiving Day Easter Holiday - Day after Thanksgiving Memorial Day V Christmas (3 days) 4 .2 Holiday Schedule (Old 4.3) The holiday schedule is issued on a calendar year basis to each department head. Department heads post and advise employees of the holiday schedule. 4 .3 Holiday Pay (Old 4.1 4 .3. 1 The County provides Holiday Pay for Revised) Permanent employees, both Full Time and Part Time (regularly scheduled at least 20 . hours each workweek) . This includes an employee appointed to a permanent position serving a probationary period. (Old 4.2 4 .3 .2 Temporary employees do not receive pay for a Revised) holiday not worked. (New) 4 .3.3 Holiday Pay is the equivalent of the straight time pay for the employee' s regular daily work hours. Examples For an employee Holiday Pay is the regularly scheduled straight time equi- to work: valent of: 8 Hours 8 Hours 12 Hours 12 Hours 4 Hours 4 Hours p cam X135 , -2- (Old 4 .5 4 . 3.4 To be eligible to receive Holiday Pay, the Revised) employee must be in pay status the day before and the day after the holiday. (New) 4 .3 .5 The County Holiday Schedule is set for those permanent employees whose regular work schedule is Monday. through Friday. When a County Holiday falls outside the employee's regular work schedule, the employee receives Holiday Pay for the Holiday which falls outside of the work schedule and does not receive time off. In this way, each eligible employee receives the 11 authorized holidays . Example: Bernice Jones, Deputy Sheriff, is scheduled to work Tuesday through Saturday. The Memorial Day holiday falls outside of her work schedule. She does not work on Memorial Day. She receives Holiday Pay for the Memorial Day holiday and does not receive time off on another date. (Old 4 .4) 4 .3.6 Holidays which occur during an employee's Sick Leave or Vacation Leave are not charged as Sick or Vacation Leave. (New) Exception: For an EMS or Sheriff's Department employee, approved leave is required for any absence on a scheduled holiday. (Old 4 .9 4. 3 .7 Holiday Pay is not included in any lump sum Revised) payment to an employee for accumulated Vacation Leave upon separation. 4 .4 Pay for Holiday Worked (New) 4.4. 1 The department head approves in advance that the employee's services are required on any scheduled holiday. (Old 4. 8 4 .4 .2 Each eligible non-exempt employee under Revised) the Federal Fair Labor Standards Act (FLSA) who is required to work on a holiday receives Holiday Pay as well as pay for the hours worked on the holiday. Example: Bob Smith, Telecommunicator, is regularly scheduled to work 12 hours each workday. Mr. Smith is required to work 12 hours on Independence Day. He receives: 6 -3- -12 hours pay for the 12 hours worked on the holiday and -Holiday Pay (equivalent to 12 hours straight time pay) for the holiday. He does not receive time off for the holiday worked. 4 .4 .3 If the hours worked on the holiday are less (New) than the employee' s regularly scheduled hours, the employee is paid for the regularly scheduled hours. Example: Bob Smith, Solid Waste Collector, is regularly scheduled to work 8 hours each workday. Mr. Smith is required to work 6 hours on Independence Day; that is, two hours less than his regular work schedule. He receives: -8 hours pay for the 6 hours worked on the holiday and -Holiday Pay (equivalent to 8 hours straight time pay) for the holiday. He does not receive time off for the holiday worked. (New) 4 .4 .4 In urgent operating circumstances, the Manager may authorize pay for holiday work as provided in Item 4 .4 for an eligible FLSA exempt employee. (New) 4 .4.5 Holiday Pay is a separate consideration from and has no bearing on overtime pay. An eligible employee who works on a holiday receives Holiday Pay and pay for the hours worked as noted in Items 4 .4 .2 and 4 .4 . 3. In addition, he or she receives overtime pay for which eligible, if any. - Attachment 2 CURRENT ARTICLE IV, SECTION 4.0 OF THE ORANGE COUNTY PERSONNEL ORDINANCE` S 7' 4 .0 HOLIDAYS It shall be the policy of Orange County to grant compensation for absence on certain holidays proclaimed by the Board of Commissioners as holidays . 4. 1 Employees appointed, full-time permanent, part-time New permanent, or in probationary status , shall receive 4.3.1 regular compensation for the following holidays , or Revised any other day proclaimed by the Board of Commissioners as a holiday: New 4.1 New Year' s Day Labor Day Martin Luther King' s Birthday Thanksgiving Day Easter Monday Day after Thanksgiving Memorial Day Independence Day Christmas (3 days ) 4 .2 Part-time hourly, and temporary employees appointed for New six months or less are not eligible for regular 4.3.2 compensation on holidays . Revised 4.3 . The holiday schedule is .issued .on a .calendar year basis New to each Department Head. Department Heads shall post 4.2 and advise employees of the holiday. schedule. 4.4 Holidays which occur during an employee' s sick leave or New vacation leave shall not be charged as sick or vacation 4.3.6 for such days off . 4 . 5 Employees must be on pay status the day before and the New day after the observed holiday in order to receive 4.3.4 compensation for holidays . Revised 4.6 An employee absent without authorized leave on the work day preceding and/or the work day following 42 Deleted 8 a day observed as a holiday, shall not receive regular compensation for the holiday. 4 .7 When a holiday falls on a Saturday or a Sunday, Monday Deleted will be observed as a holiday. 4. 8 Any employee required to perform work on a designated New holiday, shall receive time off at the rate of 1 1/2 4.4 times the total number of hours worked in addition to Revised regular pay. This time off should be used within the same pay period earned and will not be carried over to another pay period, and will not be allowed to accumulate. 4.9 Holiday hours will not be paid to an employee at New termination, unless it occurs during a week worked. 4.3.7 (See Article IX Section 7 .2 . 3 ) Revised 4.10 Holidays and the four-day work week. If an employee is Deleted normally off on Monday and a holiday is observed on Monday, the employee will be off Monday and Tuesday. If the holiday is celebrated on Friday and the employee is normally off on Friday, the employee will be off Thursday and Friday. 43