August 2, 2000

To:	Members of CABO Members of the BOC ListServ, the PayNews ListServ, and the Systems Control ListServ
From:	Marcia Chatalas, Director, Compensation and Benefits Suzanne Zimbardo, Payroll Manager
Re:	Changes to Timekeeping Practices

In order to simplify timekeeping procedures for departments, some new options are being added to the University’s timekeeping practices.

Exception Time Reporting for Exempt Employees

Employees who are exempt from the overtime provisions of the Fair Labor Standards Act (FLSA) will no longer be required to record "presence at work", but need only record any leave time used.

• It is strongly recommended that an Exempt employee and his/her supervisor sign a time record every pay period in order to ensure that the use of leave time is recorded during the correct pay period.
• Definitions of "Exempt" and "Non-Exempt" categories are available at www.hr.arizona.edu/04_cb/etr_faq.php. Exemption status of Classified Staff titles is available in "Classified Staff Titles, Pay Grades, Pay Ranges, FLSA Status", at http://www.hr.arizona.edu/forms.php, under the Compensation Forms section. In addition, screen 8 in PSOS identifies a position’s exemption status under the field "EXMP".
• Based on the needs of the work unit (positions funded by sponsored programs, internal billing requirements, etc.), some FLSA Exempt employees may be required to continue to complete detailed records of hours actually worked.

Please note that FLSA Non-Exempt employees will continue to be required to complete a time record reporting all hours worked, all paid leave time used, and all unpaid time.

New Bi-weekly Employee Time Record

The current Employee Time Record (ETR) does not meet the needs of some departments. Therefore, an alternative official timesheet record, the Bi-weekly Employee Time Record (BETR) has been developed. The new form will ensure that departments will continue to be in compliance with record keeping requirements of the FLSA. The BETR is an Excel spreadsheet which may be electronically linked to automated financial and accounting records, assisting those departments which have employees in remote locations, are funded by sponsored programs, or which have internal billing requirements. It can be used for Exempt and Non-Exempt employees.

• The form will soon be available at www.w3.arizona.edu/~fso/deptman/19/1921etr.html.
• A printed copy of the completed BETR with original signature, for each pay cycle, will be the official auditable record for departments who choose to adopt this format.
• The form does not provide space for tracking accruals of vacation leave, sick leave, or compensatory time. Therefore, employees should be made familiar with reading and verifying the accrual information on their paycheck stubs [an online tool to help employees understand their paycheck stubs will soon be available at http://w3.arizona.edu/~fso/deptman/19/newemployee.html#paychecks.
• Departments should reconcile each employee’s accrual balance on the automated Vacation & Sick Leave Accrual report on a timely and regular basis.

Guidelines for Developing Alternative Employee Time Records

If neither the ETR nor BETR meet the particular business needs of a work unit, the unit may design an alternative employee time record, as long as the form records information as specified in the guidelines for compliance with federal law and ABOR/University policy. Guidelines for designing an alternative record are available at http://www.hr.arizona.edu/policies/atrguidelines.html.

If you choose to implement any of these new options, please advise affected employees accordingly.

Questions about these new time record options should be directed to Linda Charlip at 626-7651 or charlip@email.arizona.edu or Marcia Chatalas at 621-6372 or < mchatala@email.arizona.edu. Questions about payroll processes should be directed to Payroll’s Customer Service line at 621-9097, or fso_operations@arizona.edu.

We appreciate your cooperation in ensuring that the University remains in compliance with timekeeping requirements.

MLC/SZ/lmc

cc: Patricia E. Hutton, Assistant Vice President, Human Resources
Ron Smith, Assistant Vice President, Controller
Richard Roberts, Assistant Vice President, Budget Director
Judith Leonard, General Counsel
Fran Foy, Chief Auditor
Linda Gee, Associate Controller
Beverly Buckley, Director, Systems Control
Janet Hornung, Director, Sponsored Projects Services
Linda Charlip, Senior Compensation Analyst