As used in this sub-chapter, the following definitions apply:

(1) "Nonexempt or covered employee" means an employee subject to the overtime provisions of the federal Fair Labor Standards Act of 1938, as amended and its regulations. It does not mean certain employees exempt from the overtime pay provisions of the FLSA in a position designated as executive, administrative, or professional as these terms are defined in 29 CFR Part 541. (Employees in positions designated as outside sales are also exempt from the overtime pay provisions of the FLSA, but may be covered by the provisions of 39-3-401 , et seq., MCA, the Montana Minimum Wage and Overtime Compensation law and ARM 24.16.101, et seq., Montana Wage and Hour regulations.)

(2) "Nonexempt compensatory time" means time accrued at a rate of one and one-half hours for each hour of employment for which overtime compensation is required pursuant to the FLSA, its regulations and this policy. Accrued time may be taken as approved paid time off at a later date or cashed out in accordance with this policy and federal requirements.

(3) "Overtime" means time worked by a nonexempt employee in excess of 40 hours in a workweek. (An exception is described in Section 7 of the FLSA and 29 CFR Part 553 Subpart C for covered employees with partial exemptions, such as fire fighters and law enforcement personnel.)

(4) "Workweek" means a regular, recurring period of 168 hours in the form of seven consecutive 24-hour periods. (An exception is described in Section 7 of the FLSA and 29 CFR Part 553 Subpart C for covered employees with partial exemptions, such as fire fighters and law enforcement personnel.) The workweek need not be the same as the calendar week. The workweek may begin on any day of the week and at any hour of the day. Once established a workweek may not be changed unless the change is intended to be permanent.