Dear All,

In my organization, many workers work for at least 10 hours daily. Now, I have to create an overtime policy. Can anyone tell me if this policy is applicable to all employees or if it is restricted to only workers at lower levels? To be more specific, are managers also eligible for overtime?

Regards,
Pooja Garg

From China
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Hi,

For your information, let me clarify that overtime is not applicable to staff categorized as managers. According to labor laws, it is only applicable to employees at lower levels. Overtime is limited to a maximum of 2 hours per day and not exceeding 12 hours per month. The rates for overtime are double the daily wages.

Regards,
Pooja Aggarwal

From India, Ghaziabad
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Dear Pooja, Under which of the Act or Rules we are to take overtime from the employees/workers only up to 12 hours in a month ? With Regards, R.N.Khola
From India, Delhi
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Dear seniors,

I am working in a limited company covered under the Bombay Shops and Establishment Act. I want to implement an overtime (OT) policy in our organization. From a statutory point of view, please provide the Overtime Policy.

Regards,
PHIPL

From India, Daund
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Dear Pooja Garg, Jogendra Singh and Phipl,



Overtime Policy


I. General Policy

Generally speaking, the Company authority is not encouraging employees to perform overtime work in normal condition. But there are always some unpredictable matters happened to interrupt our business operation such as materials shortage or machine shut-down or Engineering Change. To meet operational schedules or maintenance requirement, the company could request an employee to work in excess of the normal dally work period with overtime payment.

II. Overtime Payment

Non-exempt employees are eligible for requesting overtime payment. The hourly rate of overtime payment is in accordance with the Provisions in the Labor Standards Law. Exempt employees are only eligible for requesting compensation leave after they performed overtime work.

Non-exempt employees who are required to perform work in excess of the regular working hours a day should be granted overtime pay at the hourly rate of pay plus one third times two hours overtime work or at the hourly rate of pay plus two thirds times the number of such hours worked for the second two hours or at the hourly rate pay plus twice times the number of such hours worked after the first four hours.



III. Procedure


Overtime work must be approved by Department Manager or supervisor by the slip of “Request for Overtime" on beforehand. HR Department is responsible for checking the overtime records showed on the Time Cards/Time Records in computer, calculating the overtime payment which employees earned and put the amount into the monthly payroll at the end of each month.

You may correct/add as per deem fit to your organization. Hope the above helps.

Best regards,

John

From China, Shanghai
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