Overtime Policy
What is the Overtime Policy?
When the employees work above the scheduled working hours allotted to them and get minimum wages, it becomes essential to pay them for the overtime work done as per the pro-rate basis. The configuration and designing of attributes like how much amount to be paid, how much maximum overtime hours to be counted, compensation against worked overtime, etc. build up the overtime policy. This policy is designed to ensure that employees benefit from working overtime as per the government declared laws. This law also states punishment to be charged against employers not adhering to the law. Our overtime policy template will provide sample policy and insights about what key components to be kept in mind when designing the policy.
In This Policy, You Will Get:
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The Overtime policy ensures that the employees are compensated impartially for the additional hours worked.
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Such additional time is considered as overtime only when the employee has received the permission for the same from the employer/superior.
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The overtime is granted keeping in mind the goals of the employee and their need. This may vary from case to case.
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The company can also provide mandatory overtime which means the employee has to work extra for the allotted hours. Failure to do so without prior notice can lead to severe consequences.
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An overtime cap or limit needs to be set by the company.
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Overtime hours should be recorded precisely and the payment should be calculated accurately.
