The bill mandates that employees of the state and its political subdivisions receive payment for any unused compensatory leave at the end of each calendar year. This new requirement is established through the insertion of a new section in Chapter 10, Article 7 NMSA 1978, which specifies that employees must be compensated for the full value of their unused compensatory leave.

Additionally, the bill includes a provision stating that if any part of this act conflicts with existing collective bargaining agreements under the Public Employee Bargaining Act, those agreements will take precedence, and the new provisions will not apply. This ensures that the rights and agreements established through collective bargaining are maintained while implementing the new payment requirement for unused compensatory leave.