ROANOKE TIMES

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, July 26, 1995                   TAG: 9507260032
SECTION: VIRGINIA                    PAGE: C-4   EDITION: NEW RIVER VALLEY 
SOURCE: Associated Press
DATELINE: RICHMOND                                LENGTH: Medium


VA. VIOLATES EMPLOYEE HOURLY LIMIT

Because the number of full-time state employees is limited, agencies have hired temporary employees and, in some instances, violated a limit on the number of hours such employees can work annually, a state auditor said.

Walter J. Kucharski, state auditor of public accounts, on Monday told a House of Delegates budget committee that in some cases, the state would save money by hiring full-time workers with benefits instead of temporary help.

He recommended that the General Assembly consider revising the rule limiting temporary wage or contract workers to 1,500 hours per year. The 1,500-hour ceiling averages to just less than 29 hours a week for a year.

``It's not a new problem,'' Kucharski said, pointing out that his investigation covered about half the term of Democratic Gov. Douglas Wilder as well as the administration of Republican Gov. George Allen.

Many state agencies, which by law may employ only a specified level of full-time classified employees, supplement their work forces by hiring wage or contract employees.

In some cases, agencies have paid more for the temporary or contract work, he said, than the cost of an additional full-time employee who enjoys full benefits.

In fiscal 1994, state agencies paid almost 37,000 wage or part-time employees for an average of 452 hours worked. Most are seasonal employees, Kucharski said. For example, the Department of Taxation hires extra help to process returns

Some agencies refer ``wage employees nearing the [limit] to temporary employment firms, then rehire the same individuals through the employment firm,'' he said. ``After the employee's anniversary date, many are rehired by the agencies as wage employees.''

Two years ago, the Department of Personnel and Training expressed its disapproval of the practice, Kucharski said, but ``has not made further attempts to stop agencies from using this procedure.'

If the wage employees are terminated and replaced after reaching the 1,500-hour limit, ``agencies lose continuity and efficiency,'' he said.



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