Do we have to pay a nonexempt employee for time spent on training?

May 30, 2008

Time spent by an employee engaged in training required by an employer is considered "hours worked," for which the employee must be paid. However, attendance at training programs does not constitute "hours worked" if all of the four following conditions are met:

• Attendance is outside normal working hours.
• Attendance is voluntary.
• The training is not directly related to the employee's current job assignment.
• The employee performs no work of value to the employer during the training.

Example of training time that needs to be covered:
The employer asks all employees to come in on Saturday to learn the new computer software package. This time is considered hours worked.

Example of training time that does not need to be covered:
In order to improve her chances of promotion, the employer suggests a receptionist take some basic accounting classes offered by the local community college. The receptionist currently only answers the phone and types letters, tasks that require no accounting skills. She would be taking the classes on her own time and the classes are not required for her current job. The employer need not pay this employee for her time attending the classes.

This information is adapted from Ceridian's HR Compliance Reference System. Contact your Ceridian representative for more information about Ceridian's compliance solutions.