Payroll Standard Operating Procedure 6.0: Holidays - Recording Hours Worked
Holidays - Recording Hours Worked
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To provide procedures for holiday processing for staff in BW1 and BWP Paygroups
Premium holidays for pay purposes: New Year’s Day (January 1st), Memorial Day (last Monday in May), Independence Day (July 4th), Labor Day (first Monday in September), Thanksgiving Day (third Thursday in November), Christmas Day (December 25th)
Non-Premium holidays for pay purposes: Campus Holiday (available March 1), Martin Luther King Day (third Monday in January), Friday After Thanksgiving (third Friday in November)
If employees are away from work on the “official IU observed holiday” and it is a regular scheduled work day, hours should be recorded using the HOL earn code. You cannot use previously accrued holiday hours to cover the current holiday.
HOL Holiday Away from work for current holiday (paid, subtracts from reg pay)
HAC Holiday Accrued Add hours to the holiday bank to be used later
HBP Holiday Bonus Additional pay for working on holiday – straight hourly rate
HIP Holiday Incentive Additional pay for working holiday - .50 x hourly rate (IUPUI Only)
Biweekly Staff Employees (BW1):
Scheduled Work Day:
If an employee works 8 hours* on the holiday and it is their regular scheduled work day, they should receive the following compensation:
The following options are available for compensation:
Premium Holiday: Hours worked should be included in regular (RGN) hours and one of the following.
*If hours worked are less than 8, the calculation is prorated. If an employee works more than 8 hours, the holiday premium is limited to 8 hours. See examples below.
Non-Premium Holiday: Hours worked should be included in regular (RGN) hours and one of the following.
Example 1: Employee’s regular schedule is M-F, 8-5. Premium holiday occurs on Monday and employee must come to work for 4 hours and used HOL for the other 4 hours. Record one of the following options for Monday:
**The extra compensation for hours worked on this premium holiday = 4 hrs x 1.5 = 6 hrs
Example 2: Same schedule as above except holiday is non-premium. Record one of the following options for Monday:
**The extra compensation for hours worked on this non-premium holiday = 4 hrs x 1 = 4 hrs
Example 3: Employee’s regular schedule is M-T, 7-6 (10 hrs days). Premium holiday occurs on Monday and employee must come to work for 10 hours. Record one of the following options for Monday:
**The extra compensation for hours worked on any premium holiday is limited to 12.00 hours regardless of the number of hours worked. 8 hrs x 1.5 = 12 hrs
Scheduled Day Off:
An employee whose regular day off is both the observed and the legal holiday, will receive (8) hours off with pay at a mutually agreeable date. Holiday should be accrued with the HAC code.
If an employee works any hours on a holiday (premium or non/premium) which occurs on their regular scheduled day off, they receive the following compensation for the day:
** If the employee had time off during the week on earn codes that do not count towards the overtime calculation, these extra hours may show up as NEP/NEC in TIME. You will need to wait until after the hours are loaded to the voucher and change them to OVT.
Special Note: Employees working alternate schedules that are required to work on the actual US holiday would follow these procedures on the US holiday instead of the IU observed holiday.
Biweekly Professional Staff Employees (BWP):
When Professional Staff work on a holiday, they receive equivalent time off. Professional Staff employees who are eligible for overtime (BWP) receive time off at a later point equal to the actual time worked on the holiday, up to 8 hours. If the employee works a partial holiday, the portion not worked is considered time off and is charged to HOL hours.
Hours worked should be included in regular (RBP) hours.
The calculation is: Hours worked X 1 = HAC
See the following policies,
Payroll Administration Policy IV-70, Supplemental Payments for Services Provided Outside the Normal Scope of Employment: FIN-PAY-IV-70
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