Legal Definitions - compensatory time

Definition: Compensatory time, also known as comp time, is the time off that an employee is allowed to take instead of being paid for overtime already worked.

Example: If an employee works 10 hours of overtime in a week, they may be given 10 hours of compensatory time off to use at a later date instead of being paid for those extra hours.

Compensatory time is a way for employers to provide their employees with flexibility and work-life balance. It allows employees to take time off when they need it without losing pay. The example illustrates how an employee can accumulate comp time by working overtime and then use it later to take time off without losing pay.