Conversion of Retired Employee's Unused Compensatory Time to Paid Overtime
Highlights
An advance decision was requested on whether a retired employee's unused compensatory time could be retroactively converted to paid overtime. The agency, in accordance with Federal regulations, had required the employee to earn compensatory time for irregular or occasional overtime. The employee had retired without having used his compensatory time, despite advice from appropriate officials to use the time as he would not be paid for it. The employee's former supervisor retroactively approved changing his time records to show the hours in question as payable overtime rather than compensatory time. GAO held that the agency had correctly credited the employee with compensatory time and that Federal regulations provide that a voluntary retirement causes unused compensatory time to be forfeited. Since the employee was only entitled to compensatory time for overtime work, the conversion of the compensatory time to paid overtime could not be allowed. Accordingly, the employee could not be paid for his unused compensatory time.