Business Example 1 - Daily Overtime Plus Rule

This example covers these business needs:

Employees are paid at time and half their normal rate for every hour they work beyond 8 hours a day. After working 10 hours a day, employees are paid double-time. The overtime rate is paid on the time which earned employees the overtime.
Employees can earn overtime for time spent in training.
Employees should not be paid at a lower rate than they have already earned, when overtime rates are assigned.
Occasionally, employees are scheduled to work on Sundays. Employees are paid time and a half their regular rate for any time worked on a Sunday.

Configuration

First instance of the Daily Overtime Plus Rule:

To pay employees overtime for working on a Sunday, regardless of the amount of time they worked, the first instance of the rule is configured with the 'Is Day' condition configured to check if the day is Sunday. This rule runs first, and changes all the hour types of work on a Sunday to an overtime rate.

The second instance of the rule satisfies the rest of the business needs for regular work days. Since the second instance is configured to ignore the overtime hour type the first instance assigns, the second instance does not interfere with overtime on Sundays.

Condition: Is Day

Condition Value: Sun

Rule parameters:


Parameter	Value
Hour Set Description	OTS=9999
Work Detail Hour Types	REG, OTS
Work Detail Time Codes	WRK
First hour type changes work detail hour types	Selected (by default)
Assign equal or better hour types to overtime work details	Selected

Second instance of the Daily Overtime Plus Rule:

Condition: Always True

Rule parameters:


Parameter	Value
Hour Set Description	REG=480, OT1=120, OT2=9999
Work Detail Hour Types	REG, OT1, OT2
Work Detail Time Codes	WRK, TRN, BRK
First hour type changes work detail hour types	Selected (by default)
Assign equal or better hour types to overtime work details	Selected

Results

1a - Employee earns overtime

In this example result, the employee works from 9:00 to 17:00 on Thursday, taking a half hour break at 12:00 and then attends training from 17:00 to 20:00.

Since the training time is considered eligible work, the employee worked 11 hours (660 minutes) of eligible time, 3 hours of which is beyond the regular rate threshold, earning the employee overtime. 60 minutes was beyond the first overtime threshold, earning the employee overtime at the double-time rate. The last 3 hours the employee worked in the day earned overtime, so the rule assigns the overtime rate to this time.

These tables summarize the employee’s pay before and after the overtime is paid.

Before overtime:


Hours	Time Code	Hour Type	Rate	Paid
7.5	WRK	REG	Regular rate at $10 an hour	$75
0.5	BRK	REG	Regular rate at $10 an hour	$5
3	TRN	REG	Regular rate at $10 an hour	$30
Total:				$110

After overtime:


Hours	Time Code	Hour Type	Rate	Paid
7.5	WRK	REG	Regular rate at $10 an hour	$75
0.5	BRK	REG	Regular rate at $10 an hour	$5
2	TRN	OT1	Time and a half overtime rate at $15 an hour	$30
1	TRN	OT2	Double time overtime rate at $20 an hour	$20
Total:				$130

1b - Overtime rate is less

In this example result, the employee works on a special project from 9:00 to 18:00. The employee is paid double-time as incentive to work on the project.

The employee worked 9 hours (540 minutes) of eligible time, which is above the first threshold, however the rule does not convert the hour type of any of the eligible work. The Assign equal or better hour types to overtime work details check box was selected, and the OT2 hour type has a multiplier of 2, greater than the REG or OT1 hour type multipliers, so the hour type is not changed.

If the check box was cleared, the rule would convert the first 8 hours of eligible time to the REG hour type and the last 1 hour of eligible time to the OT1 hour type.

1c - Employee already paid overtime

In this example result, the employee works from 10:00 to 20:00 on Friday, New Year's Day, taking a half hour break at 13:00. The employee is paid double-time and a half for working on a public holiday.

Although the employee worked for 9.5 hours on Friday, the work details are not eligible for overtime because they have the OT3 hour type, which is not one of the eligible hour types. Since the employee did not work any eligible time, the rule does not assign any additional overtime.

1d - Employee worked on a Sunday

In this example result, the employee works from 10:00 to 16:00 on Sunday, without a break.

Since the day is a Sunday, the first instance of the rule fires. The First hour type changes work detail hour types check box is selected, so the rule converts the hour type of all the eligible work to the OTS hour type.

These tables summarize the employee's pay before and after the overtime is paid.

Before overtime:


Hours	Time Code	Hour Type	Rate	Paid
6	WRK	REG	Regular rate at $10 an hour	$60
Total:				$60

After overtime:


Hours	Time Code	Hour Type	Rate	Paid
6	WRK	OTS	Time and a half overtime rate at $15 an hour	$90
Total:				$90