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Entitlement To Retain Payment of Compensation

B-202440 Jun 17, 1981
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Highlights

The Director of Personnel, Department of Commerce, requested a decision concerning whether collection of an overpayment received by an employee may be waived. The employee, a clerk-typist, was serving in a temporary appointment limited to 700 hours. The employee's appointment limitation was extended twice to cover the balance of hours left under the 700 hour limitation. When the employee's office received notification of the extension of her appointment, it filed it without noting the limitation of the extension. As a result, she exceeded the limitation by 86 hours and was paid for the excess hours. The agency stated that the employee was unaware of the exact limitations of her appointment and did not receive a copy of her personnel actions. It has been held that an employee who renders service in good faith and under the color of authority beyond his appointment limitation is a de facto employee, entitled to be compensated for the reasonable value of his services rendered after the expiration of his appointment. Therefore, it was unnecessary for GAO to consider whether collection of the employee's overpayment in this case may be waived. It appeared that the employee's appointment was not terminated due to an administrative error. There was no fault on the employee's part, and she performed the additional hours of work in good faith. Accordingly, she was entitled to retain the compensation she received for the 86 hours she worked in excess of her apppointment limitation.

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