C.F.R.
»
Title 29
» CHAPTER V—WAGE AND HOUR DIVISION, DEPARTMENT OF LABOR › SUBCHAPTER A—REGULATIONS › PART 541—DEFINING AND DELIMITING THE EXEMPTIONS FOR EXECUTIVE, ADMINISTRATIVE, PROFESSIONAL, COMPUTER AND OUTSIDE SALES EMPLOYEES › Subpart H—Definitions and Miscellaneous Provisions
(a) An employee of a public agency who otherwise meets the salary basis requirements of § 541.602 shall not be disqualified from exemption under §§ 541.100, 541.200, 541.300 or 541.400 on the basis that such employee is paid according to a pay system established by statute, ordinance or regulation, or by a policy or practice established pursuant to principles of public accountability, under which the employee accrues personal leave and sick leave and which requires the public agency employee's pay to be reduced or such employee to be placed on leave without pay for absences for personal reasons or because of illness or injury of less than one work-day when accrued leave is not used by an employee because:
(1) Permission for its use has not been sought or has been sought and denied;
(2) Accrued leave has been exhausted; or
(3) The employee chooses to use leave without pay.
(b) Deductions from the pay of an employee of a public agency for absences due to a budget-required furlough shall not disqualify the employee from being paid on a salary basis except in the workweek in which the furlough occurs and for which the employee's pay is accordingly reduced.
Notes of Decisions
Beaulieu v. State of Vermont, 807 F.3d 478 (2d Cir. 2015).
“ing from absences occasioned by the employee, rather than the employer; 2) according to regulation and judicial precedent, computation and recording of pay at an hourly rate do not vitiate its salary nature; and 3) public employers may make partial-day deductions for employee…”
Kristen Silloway v. City & Cnty. of San Francisco, 117 F.4th 1070 (9th Cir. 2024).
“Public employers are allowed to make partial-day deductions, as we discuss below, but that flexibility comes not from § 602(b) but a separate FLSA regulation, 29 C.F.R. § 541.710 . Supplemental compensation is a different story under the FLSA.”
Conroy v. City of Chicago, 644 F. Supp. 2d 1061 (N.D. Ill. 2009).
“Regulation 29 C.F.R. § 541.710 (a) (2009) provides for an exception for employees of a public agency: An employee of a public agency who otherwise meets the salary basis requirements of § 541.”
Clark v. Brantell, 2016 Ohio 718 (Ohio Ct. App. 2016).
“Conversely, a public employer that follows "principles of public accountability" may reduce pay on an hourly basis for absences of less than a full day.”
Silloway (N.D. Cal. 2025).
· cites it 2× “; 29 C.F.R.§ 541.710 15 (permitting a public employer to reduce an employee’s pay in accordance with time not worked, 16 so long as that time not worked was caused by the employee).”
Bozzo v. City of Gilroy, 982 F. Supp. 2d 1057 (N.D. Cal. 2013).
· cites it 2× “A special exception from the salary basis test is provided for certain public sector pay *1060 systems that reduce the pay of otherwise-exempt employees for partial-day absences when paid leave is not used to cover such absences ( 29 C.F.R. § 541.710 (a)), and for deductions due…”
Caylor v. Ashtabula Cnty. (N.D. Ohio 2022).
“” 29 C.F.R. § 541.710 (a). In such a system, a public employer may reduce an employee’s pay where the “employee chooses to use leave without pay.”
— 29 C.F.R. § 541.710(a) — 1 case
Clark v. Brantell, 2016 Ohio 718 (Ohio Ct. App. 2016).
“Conversely, a public employer that follows "principles of public accountability" may reduce pay on an hourly basis for absences of less than a full day.”
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