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B-205126 1 (1982-06-17)

handle is hein.gao/gaobadkkn0001 and id is 1 raw text is: DlECISION FILE: THE COMITROLLER O RNHAL OF THE UNITED BTATUB WA 0 HIN GTO N, 3,0. QR54 8 B-20512C MArTER OF: DIGEST: DATEi June 17, 1982 Panama Canal Commission - Applicability of Overtime Pay Limitation - Waiver 1, Administrator of the Panama Canal Commisuion requests a decision a4 to the applicability of the limLtation on overtime pay contained in 5 U.S.C. § 5542(a)(2) to employees of the Commisuion wiho were formerly paid without regard to that limitation because they were covered by Fair Labor Standards Act, Section 1231 of the 1979 Panama Canal Act states that employees transferred from the Panama Canal Company or the Canal Zone Government to the Commission shall have terms and conditions of employment which are generally no less favorable than prior employment terms and conditions. iowever, Congress specifically Intended to exclude all Commission employees from coverage of the Fair Labor Standards Act and the terms and conditions of employment are otherwise generally the same since the employees still receive overtime under the provisions of 5 U.S.C. § 5542. Accordingly, overtime payment must be made in accordance with title 5 requirements, including the limita- tion contained in 5 U.S.C. § 5542(a)(2). 2. The Administrator of the Panama Canal Commission requests that we grant waiver of repayment of overpayments made because of an agency error in failing to follow the limitation on overtime contained in 5 U.S.C. § 5542(a)(2). Waiver may be granted for overpayments made before notice of this decision since the employees who received the paymen i3 did so ins good faith and with no knowledga that they were erroneous. Collection of the erroneous overpaymenta would be against equity and not in the best interest of the United States. Mr. D. P. McAuliffe, Administrator, Panama Canal Commission (Commission), has requested our decision on two issues concerning overtime pay for employees of t4 * I* , ..,.4vrn?*'tr4~ P *..ff.......... I' - r * jj ~-~- -Qr'~ *-r~~-'.- -'.*'--- *w -

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