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Compensation of Hourly Employees When Traveling on Business
Introduction However, when a non-exempt, hourly employee is traveling for business purposes-as opposed to commuting-he/she must be compensated in accordance with the following guidelines:
Travel Not Involving An Overnight Stay For example, a non-exempt MIT employee who flies to New York to attend a meeting and returns home the same day should be compensated for the time spent traveling to and from the meeting (including cab rides, etc.), except for the time traveling back and forth from home and the airport.
Travel Involving An Overnight Stay "In Transit" refers to that part of travel status during which the employee is actually traveling from the point of departure to the destination and return, or between points on an itinerary. It does not include travel to and from the Boston-area airport, railroad or bus station. In general, an employee should not suffer any loss or realize a gain in regular (base) earnings as a result of travel. All time spent in "travel status", including time spent "in transit", during the employee's regular working hours and in the regular work week, is considered as hours worked for pay purposes. Thus, for example, a non-exempt employee, who is regularly scheduled to work Monday through Friday from 9 a.m. to 5 p.m. and who flies to Washington, D.C. for a two-day conference, is entitled to compensation on the first day for time spent traveling to the conference after 9 a.m. and the time spent at the conference or elsewhere until 5 p.m. On the second day, the employee should be compensated for time spent attending the conference, traveling, or engaging in other activities between 9 a.m. and 5 p.m. The employee should not be paid for the time spent flying home after 5 p.m.
Travel Involving Weekends and Holidays Time spent in "travel status" on Saturdays, Sundays and holidays, but not "in transit", is not counted as time worked for pay purposes, provided the employee is relieved of all work duties and responsibilities. Such time may include hours spent sleeping, eating, or engaged in other personal activities.
Sleeping Periods While "In Transit"
Compensation and Overtime The application of these guidelines in specific instances can be complex. Managers and Administrative Officers are encouraged to consult their HRO for guidance before travel occurs.
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