HR Terminology Compensatory Time-Off Plan (“Time Off In Lieu”)

Complygate has put together a complete list of key HR terms, phrases, acronyms and jargon to assist HR professionals in navigating the extensive, ever-growing HR terminology. We would like to encourage you to read, share and make use of this terminology collection. If you have any suggestions of terms or keywords we have missed, please contact us and we will include them in our next update.

Please enjoy reading!

shape
shape
shape
shape
shape
shape
shape
shape

What is a Compensatory time-off plan?

What is a Compensatory time-off plan? (also, “time off in lieu”) and how does it work?

A compensatory time-off plan is also known as time off in lieu of pre-approved overtime that an employee works and gains compensatory time off for the same amount of time.

An example of this would be an employee doing overtime on one shift that has been approved by their manager, the employee can then on a later date take those extra overtime hours to take off on another day.

How does a Compensatory time-off plan work?

  • Creating a TOIL ( “time off in lieu”) policy allowing access to making changes when needed.
  • Making it clear to everyone which group of employees it involves. This is because there may be some employees like managers that are required to do overtime for whatever hours needed to complete their job without access to TOIL or extra pay.
  • When you and your employee are happy to accept them taking the time off in lieu, it should be put into writing along with any agreed conditions.
  • Both you and the employee should sign this document and save a copy within your HR software.
document verification

Document Verification

Fully automated. No Human-in-the-loop.

Learn more
1 Platform 8 checks

1 Platform - 20 Checks

Innovative Platform For Employment Vetting

Learn More
Skilled Worker Mock Audit

Skilled Worker: Mock Audit

Immigration compliance and right to work checks

Learn More

Use Complygate to increase confidence in decision making.

Learn more

Blog

Check our blog for latest industry news and update about new releases.

Complygate is the best HR software for SMEs.

image
24 Jun 2025

Conditional Employment Under BS7858 Security Screening Expla

Learn how conditional employment works under BS7858 screening, including key checks, timelines, and compliance tips for hiring security staff in the UK.

Read More
image
19 Jun 2025

What Is a Regulated Activity Under DBS Checks in the UK?

Understand what qualifies as a DBS regulated activity for working with children and vulnerable adults. Stay compliant with legal DBS check requirements.

Read More
image
13 Jun 2025

Understanding the RICE Framework in BPSS Checks

Explore the RICE framework in BPSS checks, a vital guide for HR professionals and recruiters to ensure compliance, reduce risks, and hire safely.

Read More