Overload

Functional Owner	Assistant Vice Chancellor for Human Resources
Executive Sponsor	Vice Chancellor for Finance and Administration
Policy Contact	Director, Titling and Compensation

Policy Summary

UW–Madison policy allows for employees to work up to, but not beyond, 100 percent time. On occasion, however, an employee may be asked to perform duties outside of their normal work assignments. In these extraordinary circumstances, an overload request – identified as employment beyond 100 percent – may be approved if the need for additional compensation can be sufficiently demonstrated.

As of July 1, 2013, according to Wis. Stat. 16.417(2)(f), the $12,000 overload cap that applies to state employees does not apply to employees of the Board of Regents of the University of Wisconsin System unless the compensation received is from a non-UW state employer. UW–Madison policy is that overload payments may be approved up to, but not exceed, 20 percent of the employee’s base appointment salary or $18,000, whichever is greater, unless the Provost (or Office of Human Resources as designee) determines that there is good cause to exceed this threshold and issues an exception.

Who This Policy Applies To

Faculty, Academic Staff, Limited appointees, and University Staff

Rationale

The salary received by full-time employees exempt from Fair Labor Standards Act (FLSA) provisions is considered full compensation during the appointment period. Exempt employees are expected to work without extra pay to complete their assignments. Employees with appointments that are nonexempt from FLSA provisions receive hourly compensation and overtime pay for all time worked over 40 hours in a workweek at a rate not less than 1.5 times their regular hourly rates.

However, exempt employees who work for either 1) two separate UW–Madison or UW System departments or 2) a state agency and a UW–Madison department in positions that together exceed 100 percent are considered to be working in two separate jobs (i.e., are in overload status) and are therefore eligible for overload payments. Additionally if a person is asked to do more work and is paid in their current title, it is considered an overload.

Nonexempt employees who work for either 1) two separate UW System departments or 2) a state agency and a UW System department in positions that together exceed 100 percent are considered to be working in two separate jobs (i.e., are in overload status) and are therefore eligible for overload payments.

Overload compensation for UW–Madison employees for work done within the UW System may not exceed 20 percent of the employee’s base appointment salary or $18,000, whichever is greater, unless the Provost (or OHR as designee) determines that there is good cause to exceed this threshold and issues an exception. For work done outside the UW System, payments are subject to Wis. Stat. Ch.16.417(2)(a) limitations: “No individual ... who is employed or retained in a full-time position or capacity with an agency or authority may hold any other position or be retained in any other capacity with an agency or authority from which the individual receives, directly or indirectly, more than $12,000 from the agency or authority as compensation for the individual's services during the same year.”

Policy Detail

1. When Overload Payments Are Acceptable

   1. Overload payments to Academic Staff holding a full-time appointment in one role (e.g., research) being asked to take on a position in a second role (e.g., instruction) require approval by the University Committee unless covered by a blanket waiver form. Please see Guidelines for Submitting Requests for Rule Waivers (under “D. Dual Role appointments for academic staff”) for more information.
   2. The determination that an overload is appropriate must be made before work is performed. In many cases, it is unfair to ask employees to assume additional duties outside of their normal work assignments for a sustained period of time, without first submitting an overload request for approval by all necessary department and division HR Representatives. Before overload payments are granted, departments should consider options such as temporarily adjusting current duties to give an employee time to perform the temporary responsibilities, or for Faculty, a course buy out arrangement in which another department or unit transfers funds into an employee’s current department or unit as a purchase of institutional time.
   3. Overloads and overload payments must be approved by all parties before any work is performed. Overload payments require the prior approval of the employee; the department and/or division creating the overload; the employee's home department(s); and the dean or director of the division(s) in which the individual is employed, if different.
   4. Generally, overload payments may be made to exempt staff when:
      1. Substantial additional work requirements are added to the existing duties of a full-time employee creating a workload in excess of 100 percent of the employee’s time and the performance of these additional duties is unusual, short-term or nonrecurring.
      2. An exempt employee works for either 1) two separate UW System departments or 2) a state agency and a UW System department in positions that together exceed 100 percent are working in overload status. If an employee temporarily holds two positions that combined exceed 100 percent, the compensation paid above 100 percent is considered an overload.
   5. Generally, overload payments may be made to nonexempt staff when:
      1. A nonexempt employee works for either 1) two separate UW–Madison or UW System departments or 2) a state agency and a UW–Madison department in positions that together exceed 100 percent. If an employee temporarily holds two positions that combined exceed 100 percent, the compensation paid above 100 percent is considered an overload.
      2. The payment received for the overload is considered overtime under the FLSA and therefore must be compensated at one and one-half of the regular hourly rate. If the part-time position is exempt from the FLSA, the employee holding the full-time nonexempt position still receives overtime (at one and one-half the regular rate) because the majority of the employee’s work is nonexempt.

2. Assignments Involving a Recurring or Continuing Commitment

   1. Recurring needs for employees to assume special responsibilities must be handled through some method other than overload payments, preferably by making an adjustment in the employee's other duties to allow time to meet special recurring responsibilities. Alternatively, a temporary base adjustment may be appropriate (see Pay Adjustments Policy).

3. Unusual, Short-term or Nonrecurring Assignments

   1. When unanticipated assignments are not typical of an exempt employee’s job duties, are short-term, or are nonrecurring, overload payments may be approved if sufficient need is demonstrated. The general rule for overloads is that they should not exceed six months.

4. Payments and Limitations

   1. Working for another UW–Madison department or UW System institution.
      1. UW-Extension and each of the other UW System campuses are considered separate agencies but are all under Board of Regents authority. Therefore, an individual may accept assignments at UW-Extension and other UW System campuses. Overload payments for these assignments must be reasonable in terms of the original base salary and reflect time and effort, and level of skills required for the additional assignment. These payments are subject to the UW System policy allowing a maximum of $18,000, or 20 percent of the employee’s base salary in the fiscal year, whichever is greater. Requests to exceed these amounts require prior OHR approval.
      2. Federal cost principles do not permit charging more than 100 percent of an individual's base salary to federal awards, or nonfederal funds that are used as cost sharing on a federal award. The only exception to this restriction is where the arrangement has been specifically provided for in the award or approved in writing by the sponsoring agency. Please check with UW–Madison Research and Sponsored Programs before submitting a request.
      3. If an employee is on an H1-B visa or has other immigration status, divisions should consult with International Faculty and Staff Services before approving an overload to ensure the employee is eligible to receive the additional payment.
      4. Summer employment for C-basis employees is not considered an overload. In limited situations, a C-basis employee may receive an overload in addition to the summer session or service payment. Refer to UPPP 11.02.
   2. Working for a Wisconsin state agency or hiring a full-time employee from a state agency.
      1. UW–Madison employees doing work for state agencies, or employees of state agencies doing work for UW–Madison, in an overload capacity are limited to earning $12,000 during any 12-month period per Wis. Stat. Ch.16.417(2)(a) except under the following circumstances:
         1. An employee other than an elective state official who has a full-time appointment for less than 12 months, during any period of time that is not included in the appointment.
         2. An employee who is employed by the Board of Regents of the University of Wisconsin System, but only with respect to compensation received within the system.
         3. A health care professional (see Definition) who is employed or retained in a full-time position or capacity with an agency or authority and who holds another position or is retained in any other capacity with an agency or authority for less than 1,040 hours during any 12-month period.
      2. Overload payments for work done in other state agencies are monitored on a calendar year basis (January 1 to December 31) and cover all payments during that period of time, regardless of when the overload assignment was actually completed (i.e., if an assignment is completed in December, but payment isn't made until January, it should be considered part of the following year's overload amount).
      3. If an employee exceeds the allowable overload limit for work done in another state agency during any 12-month period, they will be ordered to forfeit the amount in excess of $12,000 to the agency that made the overload payment.

5. Distribution of Payments

   Overloads may be paid as a lump sum or as an appointment with an established FTE according to the following options:

   1. Approved lump-sum payments can be made on the employee’s current position if the work is appropriate to the individual’s current title, subject to any applicable extramural funding restrictions.
   2. A separate appointment with an appropriate title and FTE may also be set up. For example, if the overload duties do not fit into the employee’s current title, or if the work is being done at a different UW institution, creating a separate job with an applicable title would be the best approach for the overload payment. The FTE for the overload should not exceed 20 percent or expected payment of $18,000 (whichever is greater), unless OHR grants prior approval.
   3. An overload should be paid within one month of when the employees performs the services.

6. Submission of Overloads

   1. Units must submit overload requests for approval through the automated overload system. The link is available at http://www.ohr.wisc.edu/apo/overload/. The department (or dean/director’s office if the unit does not have departments) requesting the employee to do the additional work initiates the request in the online overload system. The request is then routed via email to any other units involved. The routing process is identified within the system based on whether the units have departments. Only users authorized to approve requests at the division level in the PVL System will be able to mark the “last step” box in the overload approval system. This checkbox signifies the final approval of the overload and generates an email stating that the overload can be paid.

Consequences for Non-Compliance

If an overload payment exceeds the amount allowed in this policy, the employee may be forced to remit to the university the amount paid that exceeds the limit.

If a school, college, or division approves overload payments that do not comply with this policy, OHR may remove delegation for overload payment approvals.

Supporting Tools

Online Overload System

Inter-Institutional Overload Form

Faculty Teaching Overload Form

Instructions for Using the Overload System

Guidelines for Submitting Requests for Rule Waivers

Definition

Employee of the Board of Regents: all employees of UW–Madison (including University Staff). Prior to July 1 2015, classified employees were under the provisions of Wis. Stat. Chapter 230 and were still limited to the $12,000 statutory cap.

Health Care Professional: “Health care professional” means any of the following:

1. A registered nurse who is licensed under 441.06 or in a party state, as defined in s. 441.50 (2) (j), or permitted under s. 441.08.
2. A licensed practical nurse who is licensed or has a temporary permit under s. 441.10 or who is licensed as a licensed practical/vocational nurse in a party state, as defined in s. 441.50 (2) (j).
3. A physician who is licensed to practice medicine and surgery under s. 448.02.
3m. A physician assistant who is licensed under s. 448.04 (1) (f), 16.417(1)(e)4.
4. A psychologist who is licensed to practice psychology under ch. 455.

*Definition per WI Stat. 16.417(1)(e)

Responsibilities

Office of Human Resources (OHR)

Provides policy oversight to ensure compliance with campus policy Conducts periodic reviews of the policy with campus human resources offices Implements needed changes to the policy Delegates the approval of overload payments to campus human resources offices as appropriate Approves all overload payments in excess of $18,000, or if a single overload will cause a person to exceed $18,000, or 20 percent of the employee’s current salary (whichever is greater), in combined overload payments in a fiscal year Approves overloads that involve payment to a Faculty member for teaching within the university Approves overloads in the summer for a C-basis employee already employed in a summer session or summer service position (refer to UPPP 11.02 for more information)

College/School/Division HR

Reviews all overload payments to ensure compliance with this policy, verifying that immigration status and funding source for the employee comply with section IV Approves all overload payments except in the following four situations: Overload payments in excess of $18,000, or if a single overload will cause a person to exceed $18,000 or 20 percent of the employee’s current salary (whichever is greater), in combined overload payments in a fiscal year Any request involving payment to a Faculty member for teaching within the university (also requires prior approval of the Provost) Request for an overload in the summer for a C-basis employee already employed in a summer session or summer service position (refer to UPPP 11.02 for more information) Overloads that meet the above criteria need to be routed to OHR Ensures administrators, supervisors, and hiring managers are aware of and comply with the overload policy Serves as the records custodian for overload payments to employees in the employing unit Consults with International Faculty and Staff Services before making any changes to an international employee’s compensation or overload. Ensures employees in their division do not exceed $18,000 or 20% of their base salary (whichever is greater)

Link to Current Policy

https://kb.wisc.edu/ohr/policies/page.php?id=53140