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     We have received a number of inquiries about the recently Furlough for state employees statute.  The Department of Administration has issued guidelines and answers to many of your questions.  However, a final decision has not yet been made regarding Security Staff and Medical personnel.  We hope to have more information soon. 

What is a furlough?

A furlough is time off without pay. A furlough does not involve a change in employment status. A furlough day equals 8 hours for full-time employees and is pro-rated for parttime employees.

What authority does the State have to implement mandatory furloughs?

HB2003 of the Seventh Special Session requires mandatory furloughs for both covered and uncovered employees.

What agencies are required to participate in the mandatory furlough program?

All state agencies, boards and commissions are required to participate in the mandatory furlough program, except those specifically exempted by the legislation and agency functions or services exempted by the Department of Administration.

Does the mandatory furlough program only affect General Fund positions?

No. Positions and programs are affected equally, regardless of funding source.

How long will the furlough last?

The mandatory furlough program is currently scheduled through FY2012.

When should agencies notify affected employees about the furlough days?

Agencies should communicate with employees as soon as details are known.

Can employees grieve the furlough schedule?

No. The mandatory furlough program is not grievable or appealable.

How many days will employees be placed on leave without pay (LWOP) due to this

mandatory furlough program?

The number of furlough days required by the mandatory furlough program is six furlough days in FY2011 and six furlough days in FY2012.

What are the state designated furlough days?

The state designated furlough days are:

FY2011 FY2012

July 23, 2010                   July 22, 2011

August 20, 2010                August 19, 2011

September 17, 2010         September 16, 2011

November 26, 2010          November 25, 2011

December 23, 2010          December 23, 2011

June 10, 2011                  June 15, 2012

Why does HB2003 indicate that employees will be furloughed one day in FY2010 yet the response to Question #9 indicates that there are no required furlough days in FY2010?

Due to the effective date of HB2003, mandatory furloughs for employees will not begin until FY2011. It is important to note that although employees will not be mandated under this legislation to take one furlough day in FY2010, agency budgets will be reduced. The agency budget reduction represents an amount equivalent to one furlough day in FY2010.

Does an agency need to notify ADOA if it is going to participate in the mandatory furlough program and all of the employees within the agency will be furloughed on the state designated furlough days?

No, if an agency does not submit a request for exemption from the mandatory furlough program, or request a pay reduction in lieu of the mandatory furlough program, or request alternate furlough days, it is understood that all employees within the agency will be furloughed on the state designated furlough days.

Are there any exceptions or exemptions to the mandatory furlough program?

All state agencies, boards and commissions are required to participate in the mandatory furlough program, except those specifically exempted by the legislation and agency functions or services exempted by the Department of Administration. Agency directors may request ADOA to approve alternate furlough days instead of the state designated furlough days, to approve a pay reduction program in lieu of state designated furlough days, or to approve an exemption from the mandatory furlough program for specific employees considered absolutely essential for the proper performance and oversight of essential functions or services under certain circumstances.

How will ADOA develop a list of governmental unit functions or services that will be exempt from the mandatory furlough program?

If an agency believes it has a function(s) or service(s) requiring continuous operations throughout the entire week or workweek that would be significantly and negatively affected by the implementation of a mandatory furlough program, the agency shall submit the "Request for Furlough Exemption" form to the ADOA Human Resources Division no later than April 2, 2010 for review and consideration for exemption. The

request should be submitted electronically to  humanresources@azdoa.gov. Agencies shall consider the option of implementing an alternate furlough plan prior to requesting approval of an exemption from the furlough program (refer to Questions 21 - 26).  The Human Resources Division will only review exemption requests in which a mandatory furlough program would negatively impact the operations due to 1) the critical

nature of the services delivered, such as direct public safety activities, direct care of patients, residents, inmates, detainees or other similar service populations, or 2) other compelling demands for a unit's functions or service. In addition, only those employees considered absolutely essential for the proper performance and oversight of the functions or services will be considered.

The Human Resources Division will compile a final list of services including job classifications and employees that will be exempt from the mandatory furlough program.

If an agency has received approval from ADOA to have some or all of its employees participate in alternate furlough days, does an agency have the discretion in scheduling alternate furlough days for its employees?

Yes. However, agencies shall consider the intent of the legislature that employees take no more than one furlough day a month, and agencies should make every effort to schedule the alternate furlough day during the same pay period or month as the state designated

furlough day.

Can employees schedule an alternate furlough day on a recognized paid holiday?

No. Employees may not schedule a furlough on the same day as a paid holiday.

Can employees that are participating in an alternate furlough day schedule their furlough days consecutively?

It is the intent of the legislature that employees take no more than one furlough day a month.

What is a pay reduction program in lieu of mandatory furlough program?

If an agency decides to reduce employee pay by an amount, which when totaled, equals the savings generated by the state designated furlough days instead of participating in the mandatory furlough program, the agency shall submit a pay reduction plan using the

"Request for Pay Reduction" form to the ADOA Human Resources Division by April 16, 2010 for review and approval. The request should be submitted electronically to humanresources@azdoa.gov.

ADOA will only approve requests in which the agency establishes, to the satisfaction of the ADOA Director, that the agency's implementation of state designated furlough days would not be in the best interests of the State and that an equivalent pay reduction program is more appropriate

If an agency's budget reductions require further reductions in personnel expenses, can an agency schedule more furlough days than the days required under the mandatory furlough program?

Yes, HB2003 states that the furlough days required under the mandatory furlough program are in addition to any other furlough program implemented by the agency.

What authority does an agency have to implement additional furlough days beyond the state designated furlough days published by ADOA?

ADOA implemented a program to allow agencies to schedule employee furloughs. This program is authorized by Laws 2009, Third Special Session, Chapter 7 and HB2003 of the Seventh Special Session.

Does an agency need approval to implement additional furlough days?

Yes, an agency must obtain approval from ADOA of its agency designated furlough days before mplementation. Program requirements can be found on the ADOA Human Resources Division website at www.hr.az.gov/HR_Professional.

What are the parameters that an agency must follow when defining the scope of its agency furlough program?

The parameters for administering furloughs for uncovered employees are at the discretion of the agency director. For covered employees, an agency may conduct the furlough agency-wide, by unit, geographic location, fund and/or classification or classification series.

When employees take a furlough day(s), will they be expected to make up the hours or work additional hours during their regular work days?

No. When a furlough day is taken, employees cannot "add" hours to other days in that work week.

If employees work a compressed work schedule (e.g. 9 days/80 hours) and the mandatory furlough day occurs on the employees' regular day off, can the regular day off be considered the furlough day?

No, furlough days must be taken during regularly scheduled work days regardless of work schedule. At the discretion of the agency and based on operational needs, employees' current compressed work schedules may need to be suspended and reverted to a standard 5-day, 8-hour work week.

Why are employees required to take state designated furlough days instead of allowing employees to pick their own days?

First, by designating days on a statewide basis, citizens will know and can predict what days State services will or will not be available. Second, there are management issues that arise during weeks in which employees are on mandatory furloughs, including additional

precautions that must be taken to ensure that the State remains in compliance with the federal Fair Labor Standards Act (FLSA). Third, administering the furloughs will create challenges for each agency, and those challenges are far more difficult to manage if all

employees choose their own furlough days. Fourth, there are some additional savings that will be realized by shutting down state services entirely on a single day, where possible, that would not be captured by having alternate furloughs throughout the state workforce.

Can an employee be expected to work for the State while on furlough?

No. To the contrary, an employee must not work for the State while on furlough.

Is a furloughed employee on call or on standby?

No, a furloughed employee is not considered to be on call or on standby. However, an employee may be required by the agency to work on a state designated furlough day. In such cases, an alternate furlough day must be scheduled.

Can employees volunteer to work for the State while on furlough (or any other day)?

No, employees cannot volunteer in their current role without being paid

Will a pay reduction in lieu of a state designated furlough day affect an employee's base pay?

During the pay period in which a state designated furlough day is scheduled, employees participating in a pay reduction program will experience a reduction in their rate of pay such that when totaled equal the savings generated by the furlough day.

Can an employee's pay be increased in order to offset the pay reduction in lieu of a state designated furlough day?

No, an employee's pay may not be increased to offset the reduction.

What happens if employees request leave for a furlough day?

A furlough day is not a work day, so an employee may not take paid leave on a furlough day, just as an employee cannot take paid leave on any other day the employee is not scheduled to work. If an employee is on FMLA or military leave during a scheduled furlough, the employee's leave balance shall not be charged for the furlough day, nor shall the furlough day count against the employee's FMLA or military leave entitlement.  An agency shall change any paid leave, including military leave or Family Medical Leave Act Leave, in progress to unpaid leave (leave without pay).

Will employees continue to receive leave accruals during a furlough?

Employees will continue to receive leave accruals if the employee is in pay status at least one-half of the employee's regularly scheduled hours in a pay period.

Can employees substitute paid leave (annual, sick, compensatory) for a period of

furlough?

No. Employees may not substitute paid leave for a period of furlough.

What impact will furloughs have if an employee is receiving donated leave?

Donated annual leave may continue, but may not substitute for an employee's furlough day.

If an employee is on paid administrative leave at the time of a scheduled mandatory furlough day, should an agency place the employee on furlough on that day?

Yes.

Since a state designated furlough day may be before or after a holiday do employees still receive holiday pay?

Yes.

If you would like to see the entire document, follow this link:

Furlough Questions and Answers