Daily Overtime Plus Rule

The Daily Overtime Plus Rule automatically pays overtime to employees who have worked over a specified amount of time during one day.

Technical Details

com.workbrain.app.ta.quickrules.ConsolidatedDailyOvertimeRule

Overview

The Daily Overtime Plus Rule is used to pay overtime to employees, according to a set of thresholds. The rule can be configured to pay employees different rates at different thresholds. For example, the first 8 hours are paid at the employee’s regular rate, the next 2 hours at time and a half, and any time beyond 10 hours is paid at double time.

The main aspects of the Daily Overtime Plus Rule’s configuration are these:

  • How long do employees have to work before earning overtime?
  • What work is eligible?
  • How is the overtime paid?

How long do employees have to work?

The rule is heavily dependent on the Hour Set Description parameter, which contains an expression that defines at what rates employees are paid for working different lengths of time. The expression is composed of a comma-separated list of tokens, in the format HTYPE=duration, HTYPE=duration, where HTYPE is a valid hour type in the application. Employees are paid at the first token’s rate for the specified duration.

Employees who work longer are paid at the second token’s rate for the time they worked beyond the first token’s duration. If a third or fourth, or any number, of tokens exists, the employee is paid the different rates of the tokens for the time they work beyond the previous token’s duration.

For example, with the basic expression of REG=480,OT1=9999, the rule assigns the REG hour type to the first 480 minutes (8 hours) employees work and then the OT1 hour type to any time worked after that.

The duration of each token can be defined as:

  • A number of minutes, representing an interval. The next block of worked time of the specified length is paid at the token’s rate. For an example, see Business Example 1 - Daily Overtime Plus Rule.
  • A number of minutes, representing a cumulative value. Any time after the previous token’s duration and up to the specified length is paid at the token’s rate. For an example, see Business Example 5 - Daily Overtime Plus Rule.
  • The value of an employee value field or a user-defined field. The rule retrieves the duration from the specified field, which allows you to define different thresholds for different employees. For an example, see Business Example 3 - Daily Overtime Plus Rule.

    You can define default values for the fields by typing |# (# is the default value in minutes) after the field name. For an example, see Business Example 3 - Daily Overtime Plus Rule. Also, the field’s value can be multiplied by any decimal value, by typing (#) (# is the multiplier) after the field name.

Also, you can set the duration of the first token equal to the employee’s scheduled time. With this configuration, the rule pays an overtime rate to any employee who works longer than they are scheduled. For an example, see Business Example 5 - Daily Overtime Plus Rule.

You can also configure the rule to look for reset time codes. These time codes represent activities that cancel out the eligible time employees worked beforehand. For example, an employee who returns from lunch 30 minutes late.

What work is eligible?

When the rule compares how long an employee has worked to the specified thresholds, the rule bases the employee’s worked time on:

  • Eligible work details, which count as worked time and are eligible to earn overtime. Eligible work details can be defined by their time code and hour type, or just their hour type.
  • Protected work details, which count as worked time but are not eligible to earn overtime. The rule does not change the hour types of protected work details. They can be defined by their time code, hour type, or both. For an example, see Business Example 3 - Daily Overtime Plus Rule.
  • Premiums, which can count as worked time but are not eligible to earn overtime. The rule does not change the hour types of protected, eligible premiums. They can be defined by their time code or time code and hour type. For an example, see Business Example 4 - Daily Overtime Plus Rule.

How is overtime paid?

The rule can be configured to pay overtime as a premium or by changing the hour type of eligible work to a higher rate.

Overtime premiums can be charged against specific labor metrics, such as certain teams or departments. For an example, see Business Example 2 - Daily Overtime Plus Rule.

You can configure the rule to allocate overtime after the threshold is met, so that the eligible work beyond the threshold is paid an overtime rate. For an example, see Business Example 1 - Daily Overtime Plus Rule.

Or, you can configure the rule to allocate overtime on a schedule basis, so that the rule attempts to convert eligible work outside the employee’s schedule to an overtime rate first. For an example, see Business Example 4 - Daily Overtime Plus Rule.

Configuration

The Daily Overtime Plus Rule’s behavior is based on the values of the related parameters.

Rule Parameters

Parameters marked with an asterisk (*) are required.

Overtime Eligibility Parameters

Parameter Description Valid Values
*Hour Set Description This parameter specifies when employees are paid overtime. It defines the rate employees are paid for different amounts of worked time, defined by a comma-separated list of tokens. Each token consists of an hour type and a duration, in minutes. Durations act as threshold values. Once employees work beyond the threshold, they are paid according to the next token’s hour type.

Each hour type’s duration can be defined by one of these tokens:

Additional operators can be used with the tokens:

Note: If an employee works beyond the duration of the total time in the hour set, the time is ignored by the rule.
 A comma-separated list of tokens in the format HTYPE=duration, HTYPE=duration
*Work Detail Hour Types This parameter specifies the hour types that count toward overtime and are eligible to earn overtime. The rule counts work details with eligible hour types against the threshold values defined in the Hour Set Description parameter and either changes the hour types to reflect overtime or inserts a corresponding premium.

Select the eligible hour types.

Note: This parameter must contain the same hour types as every threshold but the last in the Hour Set Description parameter. So, if you specify three hour types, such as REG, OT1, and OT2, the first two (REG and OT1) must be specified in the Work Detail Hour Types for the rule to properly calculate overtime.
 Any valid hour types
Work Detail Time Codes This parameter specifies the time codes that count toward overtime and are eligible to earn overtime. The rule counts work details with eligible time codes against the threshold values defined in the Hour Set Description parameter and either changes the hour types to reflect overtime or inserts a corresponding premium.

Select the eligible time codes. Leave blank to configure the rule to consider all time codes eligible.

 Any valid time codes
Overtime Reset Description This parameter specifies what activities reset the count of eligible work if an employee performs them for a specified duration, or longer.

As the rule counts the eligible time employees recorded on their timesheets, it also checks for reset time codes. If any exist on the timesheet for the duration specified (or longer), the rule resets the duration of eligible time to 0.

Specify a comma-separated list of time codes and durations that reset the count of eligible time for the day, such as LATE=45, GAP=240. You can also configure the rule to check for any duration of a reset code by setting it equal to 0. For example, with SICK=0 the rule checks for any duration of the SICK time code.

Employees can still earn overtime even if they record a reset time code. When calculating overtime the rule will count the duration of eligible time before the reset time code and pay overtime if it is earned. Then the eligible time is reset to 0 and the rule counts the eligible time after the reset time code, and pay overtime if it is earned.

For an example, see Business Example 2 - Daily Overtime Plus Rule.

Note: Any time codes specified in this parameter cannot also be specified in the Work Detail Time Codes parameter.
 A comma-separated list of tokens. Tokens can be any valid time code followed by = and a non-negative integer representing a duration in minutes.
Can Continue From Yesterday? Select this option to extend the overtime hourset calculations over multiple days.

For example, you can use this option with the Required Rest parameter so that an employee who reaches the overtime threshold stays at overtime until they have sufficient rest (for example, 8 hours), regardless of whether their collective work time spans multiple days. Under this configuration, if an employee finishes work at 23:00 on Friday and comes back into work at 5:00 on Saturday morning, the overtime calculation would consider the eligible work details on both days.

By default, this option is disabled (meaning the overtime calculation starts anew on each work date).

 Selected or cleared
Required Rest Specifies the sufficient rest threshold in minutes. Used with the Can Continue From Yesterday? option to determine whether an employee had sufficient rest between shifts on consecutive days.

When determining how much rest an employee has had over two days, the rule compares the end time of the last eligible work detail from yesterday and the start time of the first eligible work detail from today. If the interval is less than the interval defined in the rule (for example, 480), the employee will be considered to have had insufficient rest and their current overtime eligibility will pick up from where it left off at the end of the previous day.

For an example, see Business Example 6 - Daily Overtime Plus Rule.

 Any positive integer, representing minutes
Limit to Eligible Details This parameter is used with the Can Continue From Yesterday? option to determine the hour types that are eligible when calculating the minutes from yesterday.

When this option is cleared, the hour types from both the Hour Set Description and Work Detail Hour Types parameters are eligible. This is the default.

When this option is selected, only the hour types specified in the Work Detail Hour Types parameter are eligible. The hour types in the Hour Set Description parameter are still used to determine the rest period between yesterday and today.

For example, assume this rule configuration:

  • Hour Set Description: REG=480, OT1=9999
  • Work Detail Hour Types: REG
  • Work Detail Time Codes: WRK
  • Can Continue From Yesterday?: Selected
  • Required Rest: 480

Consider an employee that has 2 hours of WRK on the previous work day from 17:00 to 19:00 with the OT1 hour type and 9 hours of WRK on the current work day from 2:00 to 11:00 with the REG hour type for a rest period of less than 8 hours.

By default, the 2 hours of OT1 from the previous work day are eligible as OT1 is included in the Hour Set Description parameter. Therefore, the rule would calculate 3 hours of OT1 on the current work day.

However, if the Limit to Eligible Details option is selected, the 2 hours of OT1 from the previous work day would no longer be eligible as OT1 is not included in the Work Detail Hour Types parameter. Therefore, the rule would calculate only 1 hour of OT1 on the current work day.

 Selected or cleared
Deduct Breaks from Schedule Duration This parameter indicates whether to exclude break minutes from the schedule duration. Select one of these options:
  • No: Includes breaks in the schedule duration. This is the default.
  • Unpaid Breaks: Excludes unpaid breaks from the schedule duration.
  • All Breaks: Excludes all breaks from the schedule duration.

For example, an employee is scheduled from 8:00 to 15:30 with a scheduled break from 12:00 to 12:30. By default, the break is included in the schedule duration, so the rule uses a duration of 7.5 hours in its calculations. If you configure the rule to exclude the break from the schedule duration, the rule would instead use a duration of 7 hours.

 One of the drop-down list selections
Premium Hour Types This parameter specifies the premium hour types that count toward overtime. Premiums are not eligible to earn overtime, however, the rule counts premiums with the specified hour types against the threshold values defined in the Hour Set Description parameter. The rule does not change the hour types of premiums or insert overtime premiums for their time.

Select the eligible premium hour types. If left blank, only premiums with time codes specified in the Premium Time Codes parameter count toward overtime.

If both Premium Hour Types and Premium Time Codes are left blank, the rule ignores premiums when calculating overtime.

Note: Overtime is not earned on premiums alone. On any day that an employee has only recorded premiums and no work details, the rule does not pay any overtime. Also, if Premium Hour Types has a value, the Apply overtime as a premium option is disabled. Overtime can only be paid by changing the hour types of eligible work details.
 Any valid hour types
Premium Time Codes This parameter specifies the premium time codes that count toward overtime. Premiums are not eligible to earn overtime, however, the rule counts premiums with the specified time codes against the threshold values defined in the Hour Set Description parameter. The rule does not change the hour types of the premiums or insert overtime premiums for their time.

Select the eligible premium time codes. If left blank, only premiums with hour types specified in the Premium Hour Types parameter count toward overtime.

If both Premium Time Codes and Premium Hour Types are left blank, the rule ignores premiums when calculating overtime.

Note: If Premium Time Codes has a value, the Apply overtime as a premium option is disabled. Overtime can only be paid by changing the hour types of eligible work details.
 Any valid time codes

Overtime Allocation Parameters

Overtime is applied either to work detail records or by inserting premiums. When applying overtime to work detail records, the parameters associated with applying overtime as a premium are not considered. The reverse is also true.

Select Apply overtime to work detail records to use these parameters:

Parameter Description Valid Values
Protected Work Detail Hour Types This parameter specifies the hour types that count toward overtime but are not eligible to earn overtime. The rule counts work details with protected hour types against the threshold values defined in the Hour Set Description parameter, but does not change the hour types of protected work details or insert a corresponding premium.

For an example, see Business Example 3 - Daily Overtime Plus Rule.

Hour types specified in this parameter must also be specified in the Work Detail Hour Types as well.

Select the protected hour types. If left blank, no hour types are protected.

Overtime is not earned on protected work details alone. On any day that an employee has only recorded protected work details, the rule does not pay any overtime or premiums.

Any valid hour types
Protected Work Detail Time Codes This parameter specifies the time codes that count toward overtime but are not eligible to earn overtime. The rule counts work details with protected eligible time codes against the threshold values defined in the Hour Set Description parameter, but does not change the hour types of protected work details or insert a corresponding premium.

For an example, see Business Example 3 - Daily Overtime Plus Rule.

Time codes specified in this parameter must also be specified in the Work Detail Time Codes as well.

Select the protected eligible time codes. If left blank, no time codes are protected.

Overtime is not earned on protected work details alone. On any day that an employee has only recorded protected work details, the rule does not pay any overtime or premiums.

Any valid time codes
First hour type changes work detail hour types This parameter is selected by default and the rule converts eligible work details that fall within the duration of the first hour type's threshold in the Hour Set Description to that hour type. So, if Hour Set Description is set to REG=480, OT1=600, OT2=9999 the hour types of the first 480 minutes of eligible work details are converted to REG.

Clear the check box to configure the rule to only convert the hour types of eligible work details above the first threshold.

Selected or cleared
Allocate overtime based on the schedule This parameter determines how overtime is applied. When cleared, the rule applies overtime starting at the end of the day, working backwards until all overtime is applied to eligible time.

When selected, the rule attempts to apply overtime to eligible work during unscheduled time. Scheduled time is only paid at an overtime rate if an employee is scheduled beyond the overtime threshold.

When an employee earns overtime during unscheduled time, as is most often the case, the rule ensures that the eligible work details that occur during scheduled time have the REG hour type (or the first hour type in the Hour Set Description); also, the first eligible work details in unscheduled time have this hour type when the first overtime threshold is beyond the employee's scheduled time.

For example, with an Hour Set Description of REG=540, OT1=9999 and an employee who is scheduled for 8 hours (480 minutes), but works 10, earns 1 hour of overtime. The 8 hours of scheduled time and the first hour of eligible work details during the overtime period have the REG hour type. The rest is assigned the OT1 hour type.

For another example, see Business Example 4 - Daily Overtime Plus Rule.

Selected or cleared
Assign equal or better hour type to eligible work details Select to ensure the rule does not pay overtime at a lower rate to the employee's original rate.

When selected, the rule does not convert eligible hour types to overtime hour types with lower multipliers. For an example, see Business Example 1 - Daily Overtime Plus Rule.

When the check box is cleared, the rule converts eligible hour types according to the related configuration, without comparing the overtime hour type to existing hour types.

Selected or cleared

The rule can be configured to insert overtime premiums instead of changing the hour types of work details. If either the Premium Time Code or Premium Hour Type parameters has a value, this option is disabled.

Select Apply overtime as a premium to use these parameters:

Parameter Description Valid Values
Insert a premium for the first hour type in the Hour Set Description Select to configure the rule to insert a premium for eligible work that satisfies the first threshold. The rule inserts a premium of equal length to the time the employee worked in the first threshold of the Hour Set Description parameter.

So, if Hour Set Description is set to REG=480, OT1=600, OT2=9999 and the employee worked 540 minutes of eligible time, the rule inserts two premiums: 480 minute premium with the REG hour type, and a 60 minute premium with the OT1 hour type.

Clear the check box to configure the rule to only insert premiums for eligible time employees work beyond the first threshold.

Selected or cleared
Insert premiums based on the schedule This parameter determines how overtime premiums are inserted. When cleared, the rule inserts overtime premiums matching the eligible work that earned the premium, starting at the end of the overtime period and working backwards until all overtime has been paid out as premiums.

When selected, the rule attempts to insert overtime premiums matching eligible work during unscheduled time. Premiums are only paid for eligible scheduled time if an employee is scheduled beyond the overtime threshold.

When an employee earns overtime during unscheduled time, overtime premiums are inserted to match the first eligible work outside of the schedule that earned the employee overtime.

For example, with an Hour Set Description of REG=540, OT1=9999 and an employee who is scheduled for 8 hours (480 minutes), but works 10, a 1-hour overtime premium is inserted. The first hour of unscheduled eligible work details during the day did not earn the employee overtime, so the premium is paid to match on the next 1 hour of unscheduled eligible work.

This parameter is not used if one of the labor metrics under Override Premium Default Labor Settings has been set to Allocate proportionally by.

Selected or cleared
Populate premium time fields Select to populate the Start Time and End Time fields on the Daily Timesheet and the Work Details pop-up with the premium's start and end time.

When selected, the premium is coupled to the earned worked time. If the eligible work is from 20:00 to 22:00, the resulting 2-hour premium is also from 20:00 to 22:00.

If the parameter is not selected the premium's start and end times are not displayed.

This parameter is not used if one of the labor metrics under Override Premium Default Labor Settings has been set to 'Allocate proportionally by'.

Selected or cleared
Premium Rate This parameter determines the rate that is used for the overtime premium. Select one of these options:
  • Base Rate: The employee base rate is used. This is the default.
  • Worked Rate: The actual worked rate is used. If the employee has multiple worked rates, then the premium can be applied based on the schedule by selecting the Insert premium based on the schedule option. If the Insert premium based on the schedule option is cleared, then the premium is applied based on the threshold values defined in the Hour Set Description parameter.
  • Explicit Rate: The specified rate is used.
 One of the options
Calculate Rate This parameter determines the hour type multiplier that is used for the overtime premium.

When selected, the rate specified in the Premium Rate parameter (base, worked, or explicit) is multiplied by the premium hour type multiplier.

When cleared, the rate specified in the Premium Rate parameter (base, worked, or explicit) is multiplied by the hour type multiplier of the first EDLA record. This is the default behavior.

 Selected or cleared
Premium Hour Type This parameter determines the hour types of overtime premiums. There are two options:
  • Select Assign hour type according to the Hour Set Description to use the hour types provided in the Hour Set Description parameter. The rule inserts premiums with the same hour types as the specified thresholds.
  • Select Allocate proportionally by hour type to proportion overtime premium hours by hour type. The rule inserts premiums with hour types in the same ratio as the eligible work.
One of the options
Hour type marker for work details with overtime Select an hour type to configure the rule to mark work details which earn employees an overtime premium.

The rule changes the hour types of the details that trigger an overtime premium to the selected hour type. The specified hour type should also be specified in the Work Detail Hour Types parameter.

For an example, see Business Example 5 - Daily Overtime Plus Rule.

If left blank, the rule does not change the hour types of the details that trigger overtime premiums.

Selected or cleared
Premium Time Code This parameter determines the time codes of overtime premiums. There are two options:
  • Select Assign time code and select a time code using the lookup to specify the time code of inserted premiums. Every premium the rule inserts uses the specified time code.
  • Select Allocate proportionally by time code to proportion overtime premium hours by time code. The rule inserts premiums with time codes in the same ratio as the eligible work.
One of the options

Override Premium Default Labor Settings parameters

These parameters define which labor metrics overtime premiums are paid against. By default, the labor metrics specified in the employee's default labor allocation are used. You can either specify labor metrics, or configure the rule to proportion overtime hours against the labor metrics of the eligible work

For an example of allocating overtime premiums proportionally by the labor metrics, see Business Example 5 - Daily Overtime Plus Rule.

Parameter Description Valid Values
Premium Job This parameter determines what job overtime premiums are charged against. There are two options:
  • Select Assign job to specify the job. Select which job the premium is charged against using the lookup or leave the lookup blank and the premium's job labor metric is determined by the employee's default labor allocation.
  • Select Allocate proportionally by job to proportion overtime premium hours by job, in the same ratio as the eligible work. The rule pays the premium against the same jobs as the eligible work, in the same ratio.
One of the options
Premium Department This parameter determines what department overtime premiums are charged against. There are two options:
  • Select Assign department to specify the department. Select which department the premium is charged against using the lookup, or leave the lookup blank and the premium's department labor metric is determined by the employee's default labor allocation.
  • Select Allocate proportionally by department to proportion overtime premium hours by department, in the same ratio as the eligible work. The rule pays the premium against the same departments as the eligible work, in the same ratio.
One of the options
Premium Project This parameter determines what projects overtime premiums are charged against. There are two options:
  • Select Assign project to specify the project. Select which project the premium is charged against using the lookup, or leave the lookup blank and the premium's project labor metric is determined by the employee's default labor allocation.
  • Select Allocate proportionally by project to proportion overtime premium hours by project, in the same ratio as the eligible work. The rule pays the premium against the same projects as the eligible work, in the same ratio.
One of the options
Premium Docket This parameter determines what dockets overtime premiums are charged against. There are two options:
  • Select Assign docket to specify the docket. Select which docket the premium is charged against using the lookup, or leave the lookup blank and the premium's docket labor metric is determined by the employee's default labor allocation.
  • Select Allocate proportionally by docket to proportion overtime premium hours by docket, in the same ratio as the eligible work. The rule pays the premium against the same dockets as the eligible work, in the same ratio.
One of the options
Allocate proportionally by team Select to proportion overtime premium hours by team, in the same ratio as the eligible work. The rule pays the premium against the same teams as the eligible work, in the same ratio. Selected or cleared
Allocate proportionally by FSM attributes Select to proportion overtime premium hours by FSM attributes.
Assign Premium Quantity Specify the premium's quantity value.

If left blank, the premium's quantity labor metric is determined by the employee's default labor allocation.

Any valid quantity