Overtime rulesets in Droppah allow you to set up overtime and allowance rules to automatically apply accurate labour costs for employees who should receive additional entitlements.
You can learn more about overtime rulesets in Droppah in each of the sections below:
- Reviewing Overtime and Allowances
- Setting Up Overtime and Allowance Rulesets
- Applying Overtime and Allowance Rulesets
- Frequently Asked Questions
Reviewing Overtime and Allowances
The Calendar > Overtime tab provides an easy overview of the overtime hours worked and the allowances that will be applied to your staff each week.
Clicking on an entry will display a pop-up showing the overtime details, including which of your overtime and allowance rules has been triggered, the extra cost associated and which shift/time entry the rule applies to.
You can toggle between the time recorded, shift details, and overtime information via the sections on the left. Time and shift information can be adjusted from these views - if any changes are made, all overtime and allowance rules for the week as a whole will recalculate for the affected employee based on any changes made.
Setting Up Overtime and Allowance Rulesets
To manage overtime or allowance rules, head to Manage > Overtime Rulesets and click into the ruleset you'd like to manage the rules for, or click New Ruleset to create a new group of rules.
Name your ruleset, then click + Rule to add a new rule, or click on an existing rule to edit it.
When adding or editing a rule, you'll need to complete the following details:
Overtime Rule Name - Set a clear name for the rule, so that you can easily identify it later.
When - Select the requirement that should apply in order for this rule to kick in. See the 'How do each of the overtime rules work?' FAQ below for more details on the options available.
On - Select whether the rule should apply on particular days of the week or on Public Holidays. For any rules that should simply kick in any time the 'When' criteria is met, select 'Week days' and tick all days.
Then - Specify what the outcome of the rule being met should be:
Modify Hourly Pay Rate - the employee's normal hourly rate will be modified for the overtime hours. You can choose between Multiply By (for example, you can set it to pay 1.5x their normal rate) or Add (a set $ amount will be added to their normal rate).
Add Allowance - the employee will be paid a fixed allowance each time they meet the rule.
If you have multiple overtime rules in your ruleset, you can click and drag them to arrange the order in which they should apply. The order you set is important for ensuring the right rates are applied to any time worked, as any given hour of work can only have one overtime rule applied.
For example, if you have employees who should receive time and a half for working on Saturday, but then double time should kick in if they work more than 4 hours, make sure the rule that will apply to the hours after the 4-hour mark is set as the first priority. This will mean that if an employee works 6 hours on a Saturday, they'll first have 2 hours allocated at double time, and then the next rule will apply to the first 4 hours only.
Applying Overtime and Allowance Rulesets
Once you've set up your rulesets, the way they'll be applied depends on whether you set them on your Pay Grades or your Work Groups.
A ruleset that should apply to all time for a partcular group of employees should be set on their pay grade. To do so, head to Manage > Pay Grades and specify the ruleset as seen here:
A ruleset that should only apply when employees perform particular tasks or duties should be applied to the work group that type of time will be recorded against. To do so, navigate to Manage > Work Groups and apply the appropriate ruleset to the applicable work groups:
In any cases where an overtime ruleset exists on both pay grades and work groups, the ruleset on the work group will take priority. If there are no overtime rulesets that apply from the work group, then the overtime ruleset from the pay grade will be applied.
Frequently Asked Questions
It's important to select the correct 'When' criteria on each rule to ensure the rates are applied as you expect. Click the buttons below to learn more about how each of the rules work.
Any time worked in a single day in excess of the specified value will be considered overtime and will be paid at the rate you specify, or will trigger the specified allowance. For example, if an employee working over 10 hours in a day should be paid overtime, set this rule to 10:00 hours.
Alternatively, if you want all hours on a public holiday or a particular day of the week to be paid at a different rate, set this rule to 00:00 hours.
If the employee has not taken a 30 minute unpaid meal break, all recorded hours past the number specified will be considered overtime and will be paid at the rate you specify until a meal break is taken or the shift ends, or will trigger the specified allowance.
If an employee works a shift that's shorter in duration than the specified number of hours, the difference will be considered overtime or will trigger the specified allowance.
For example, if the hours specified is 05:00 and an employee works for 2 hours, the remaining 3 hours will be considered overtime and will be paid at the rate you specify.
If an employee is rostered on for two shifts on the same day, an allowance will be paid if the gap between the shifts falls within the specified durations. The second field can be cleared out if any gap between two shifts on a particular day should trigger the allowance.
Any hours recorded between the two specified times will be considered overtime or will trigger the specified allowance.
Any hours worked when the employee is not rostered on will be considered overtime or will trigger the specified allowance.
If an employee works a greater number of hours than the specified value during a week, any hours exceeding this value will be considered overtime or will trigger the specified allowance.
Breaks can be applied in several different ways, and will interact with Overtime accordingly:
- If an unpaid break is recorded using the time clock during a period of Overtime, the break will be deducted from that Overtime.
- Unpaid breaks which haven't been recorded using the time clock (i.e. breaks manually added or edited on a shift, or specified via the Default Break Duration in the shift settings) are assumed to start 4 hours into a shift. If this coincides with a period of Overtime, the break will be deducted from that Overtime.
- In cases where the shift is less than 4 hours long, the break is applied to the end of the shift. If this coincides with a period of Overtime, the break will be deducted from that Overtime.
Yes - learn more here:
All overtime for an employee will be recalculated for the week each time one of their roster or timesheet entries is saved.
This means if you need to change the overtime rules that apply, you'll simply need to update the overtime ruleset (or change the ruleset you've selected on the employee's pay grade or work group) and then open and resave one of the employee's entries for the week and the whole week will be recalculated based on the new rules you've applied.
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