Other rules apply to CTO, depending on the labor code of a particular state. For example, some of the other requirements for CTO under California’s current version of Labor Code Section 204.3 are:
– The employee requests CTO, in writing, in lieu of overtime.
– The employee is regularly scheduled to work no less than 40 hours in a workweek.
– There is a written agreement for CTO before the work is performed.
– Accrued CTO cannot exceed 240 hours.
– If compensation is paid for CTO, it must be paid at the regular rate applicable at the time it is paid.
– Accrued CTO must be paid out when the employee terminates employment.
– Employees must be permitted to use CTO within a reasonable period after making the request to use it.
– If requested by the employee, the employer must pay overtime compensation in lieu of CTO for any CTO that has accrued for at least two pay periods.