In re Transportation Systems Center

• Decision Date: 27 April 1978
• Docket Number: B-190912
• Citation: 57 Comp.Gen. 441
• Parties: IN THE MATTER OF TRANSPORTATION SYSTEMS CENTER-- STATUTE OF LIMITATIONS ON CLAIMS UNDER FAIR LABOR STANDARDS ACT,
• Court: Comptroller General of the United States

57 Comp.Gen. 441

IN THE MATTER OF TRANSPORTATION SYSTEMS CENTER-- STATUTE OF LIMITATIONS ON CLAIMS UNDER FAIR LABOR STANDARDS ACT,

No. B-190912

Comptroller General of the United States

April 27, 1978

Statutes of limitation - claims - compensation - fair labor standards act certifying officer questions what is the statute of limitations on claims filed by federal employees under fair labor standards act (FLSA). Although there is time limitation on "actions at law" under FLSA, there is no statutory time limitation when such claims May be filed as claims cognizable by general accounting office (GAO). Therefore, time limit for filing FLSA claims in GAO is 6 years. 31 U.S.C. 71a and 237. Compensation - overtime - fair labor standards act - claims - settlement authority authority of GAO to consider FLSA claims of federal employees is derived from authority to adjudicate claims (31 U.S.C. 71) and authority to render advance decisions to certifying or disbursing officers or heads of agencies on payments (31 U.S.C. 74 and 82d). Nondoubtful FLSA claims May be paid by agencies. In order to protect the interests of employees claims over 4 years old should be forwarded to GAO for recording.

This action is in response to a request for an advance decision from john F. Linehan, a certifying officer with the transportation systems center (center, U.S. Department of transportation, cambridge, Massachusetts, dated December 7 1977, reference dts-833, concerning the entitlement of certain nonexempt employees of the center to retroactive payments of overtime compensation under the fair labor standards act (FLSA), 29 U.S.C. 201 et seq. (supp. V, 1975).

The request from the transportation systems center indicates that while the fair labor standards amendments of 1974 extended the FLSA coverage to federal employees, effective May 1 1974, the center did not implement those provisions until November 20, 1977. The center was apparently first made aware of the applicability of the FLSA to its employees when an internal audit report on payroll activities was issued on July 13, 1977. This report recommended that the provisions of the FLSA be implemented retroactive to May 1, 1974. The certifying officer questions whether retroactive payments are restricted to the 2 year statute of limitations contained in the FLSA and whether an agency May pay retroactive overtime compensation under the FLSA without having claims filed by the employees. We note that subsequent to the submission of this request for a decision, the certifying officer forwarded to our office the claims of several current or former employees of the transportation systems center for overtime compensation under the flsa.

As noted above, the fair labor standards amendments of 1974 public law 93-259, approved April 8, 1974, 88 Stat. 60 (29 U.S.C. 201 note) extended the FLSA coverage to employees of the federal government. Since the civil service commission (CSC), under 29 U.S.C. 204(f) (supp. V, 1975), is authorized to administer the FLSA with respect to federal employees, we requested the csc's views on this matter. By letter dated March 16, 1978, the general counsel of the CSC responded to our request by first noting the provisions of the portal-to-portal act at 29 U.S.C. 255(a), which provide that a cause of action for unpaid minimum wages, unpaid overtime compensation, or liquidated damages shall be forever barred unless commenced within 2 years (3 years for willful violations) after the cause of action accrued. An action is commenced within the meaning of 29 U.S.C. 255 on the date a complaint is filed in court. 29 U.S.C. 256. Thus, the CSC letter concludes that if the transportation systems center employees are successful in suing for back pay under the FLSA, the...