EMPLOYEE PAYMENT FOR UNUSED LEAVE
HB 438 requires New Mexico state and local government employees to receive payment for unused compensatory leave (time off earned through overtime) at the end of each calendar year. It directly affects public sector workers covered by state or local government employment. The bill mandates annual payment of the full value of unused compensatory leave, rather than carrying it forward. This provision does not apply to employees covered by existing collective bargaining agreements under the Public Employee Bargaining Act.
Bill status
in committee
1 of 4 stages cleared
Introduction
Feb 2025
Committee Review
Floor Vote
Governor
Introduced Feb 17, 2025
Last action Jun 3, 2025
Maddy AI version diff · 1 comparison
What changed between versions
introduced version
→
LV substitute
·
2 edits
MINOR
The bill was amended from requiring payment of unused compensatory time at year-end to instead requiring employers to provide employees an opportunity to exchange that time for cash compensation at least twice each year. This change shifts the focus from mandatory year-end payout to more frequent exchange opportunities, potentially improving cash flow for employees while maintaining the core benefit of compensatory leave conversion.
Scope change
The bill's scope remains the same - applying to state and political subdivision employees - but the mechanism for converting unused compensatory time changed from a year-end payment requirement to a twice-yearly exchange opportunity.
REQUIREMENT
Changed the requirement from paying out all unused compensatory leave at the end of each calendar year to providing employees an opportunity to exchange unused compensatory leave for compensation at least twice each year.
TIMELINE
Replaced the annual year-end payment deadline with a requirement for exchange opportunities occurring at least twice per year.
Floor votes
How they voted
No floor votes recorded yet.
Full legislative history
Actions timeline
Total actions
4
Key actions
2
Committee
2
Mar 5, 2025
Lower · Passed
DO PASS committee report adopted
lower
Feb 28, 2025
Lower · Passed
DO NOT PASS, replaced with committee substitute
lower
Feb 17, 2025
Introduced
Sent to House Labor, Veterans & Military Affairs Committee & House Government, Elections and Indian Affairs Committee
lower
2 primary · 0 co-sponsors
Sponsors
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