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B-191520 1 (1978-06-06)

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DECISION




FILE:   B-191520


P:  Department of the Interior -. Overtime Pay for
    Prevailir Rate Employees Who Negotiate Wagrs

1.  Interior Department qustions whether it tay
    pay prevailing rate employees who negotiate
    their wages, overtime compensation for time
    worked outside the employees' rvgular ahift,
    even though the employees do not work more
    than 8 hours in a day or 40 hours in a week.
    Such a payment would be a form of penalty
    pay or a special type of aertime which is
    not authorized.by 5 U.S.C. 5544. Since that
    statute would be violated, such overtime may
    ,tot be paid.


             2.  Employee performed certain preshift and'
                 postihift duty. Arbitrator's advisory opinion
                 considered such duty separ'Ce periods of over-
                 time for rounding-off purposes. Since arbitrator's
                 opinion was primarily based on invalid contractual
                 provisiona, arbitrator's opinion is not to be
                 followed, and periods of overtime wort.ed in 1
                 workday are to be aggregated to determine total-
                 overtime compensation payable.

     By a letter datel March 22, 1978, the Honorable Richard R.
Hite, Deputy Assistant Secretary of the Department of the Interior,
requested our decision whether the Interior Department may lawful-
ly comply with an'advisory arbitrationaward dealing with the
computation of overtime hours. In additioni'our decision has been
requested as to the legality of two proviaions or a labor-management
agreement between the Department's Bureau of Reclamation and Local
1245, International Brotherhood of Electrical Workers (IBEW),
AFL-CIO.  Sinc? the opinion of the arbitrator in t*&..4 matter was
primarily based upon the contractual provisions in question, we
will first consider the legality of those provisions.

     Supplemental Labor Agreement No. 2 between the agency and the
IBMW provides, in pertinent part, as follows:


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