OVERTIME POLICY
1. PURPOSE
The purpose of this Overtime Policy is to establish guidelines for the fair and consistent compensation of employees who work additional hours beyond their regular schedule at the request of management. This policy aims to ensure transparency and accountability in the payment of overtime, emphasizing the completion of assigned tasks within the regular working hours.
2. REGULAR WORKING HOURS
Employees are expected to adhere to their regular working hours as outlined in their employment contract. These regular working hours are established to meet the operational needs of the company i.e. Monday to Friday 9:30 AM to 06:30 PM including one (1) hour of break as scheduled.
If an employee arrives late in office and then work overtime, it will be not be considered or calculated.
Over time will be calculated when an employee serves all required working hours in a month and then work for extra hours. For example,
No. of Days in a Month: 30 Days
Total Working Days in a Month: 22 Days
Total Working Hours per Day: 8 hours
Total Working Hours in a Month: 22 x 8 = 176 working hours
Now,
Employee’s Served Hours: 168
Balance Working Hours: 176-168 = 8 working hours
Overtime Duration: 12 hours
Calculation,
Payable OT = Overtime hours – Balance working hours
= 12 – 8
Payable OT = 4 working hours as ‘Overtime’
3. MANAGEMENT REQUESTED OVERTIME
If an employee is requested by management to work beyond their regular hours to address specific business needs, the additional hours will be compensated at the applicable overtime rate.
Overtime work must be pre-approved by the employee's line manager or concerned director. The concerned director will assess the necessity of the overtime and determine its approval based on the business requirements. Concerned Board member and Human Resource Department must be informed ahead of time.
4. COMPENSATION FOR MANAGEMENT REQUESTED OVERTIME
Overtime hours worked in response to management requests will be compensated at the rate specified in the employee's employment contract.
On regular days, per hour rate is standard of 1% whereas on weekend or public holidays, rate shall be revised to 1.5% per hour.
To receive compensation for management-requested overtime, employees must obtain prior approval from their line manager/director before engaging in the additional work.
Overtime can be calculated against the penalty caused by attendance issues or exhausted leave balance.
5. UNAPPROVED OVERTIME
Overtime hours without prior approval from the concerned director will not be compensated.
Employees who fail to complete their required working hours or assigned tasks within the regular working hours or defined deadline by the line manager and subsequently work overtime without prior approval will not be eligible for overtime pay.
6. RECORD KEEPING ON JIRA
Employees are responsible for accurately recording their regular and overtime hours worked. This information should be documented in Jira software. Without Jira updates, OT shall not be compensated.
7. COMPLIANCE
The compliance of this policy is inevitable. Human Resource Department shall not be responsible for any inconvenience caused based on missing or late submission of approval to the concerned authorities.
Human Resource Department shall not be responsible of non-payment in case of no updates available on Jira software.
8. REVIEW AND REVISION
This Overtime Policy will be periodically reviewed and revised as necessary to ensure its continued effectiveness and compliance with evolving business needs.
9. COMMUNICATION
Employees will be informed of this Overtime Policy upon hiring, and any updates or changes will be communicated through official channels.
Employees are encouraged to seek clarification from Human Resources Department if they have any questions regarding this policy.