HRSINGAPORE Community Discussions
Overtime rate
QUESTION
Dear HR Professionals,
I have a question about overtime rates.
Is it possible for the overtime rate to be two (2.0)?
I have looked for instances when this can be applied in the employment act and I could not find it.
And even payroll vendors are not able to answer this question.
Can someone please advise.
Thank you
Esther
REPLIES & COMMENTS
Dear Esther,
Those staff who are on a monthly salary are paid overtime at one time the overtime rate.
If you pay 2 times, it is commonly perceived as 3 times.
David
Hi Esther
The Employment Act (EA) will always stipulate the minimum overtime pay that the employer has to comply with. And they can decide to pay more than set out in the EA.
For your reference, the following are the overtime rates:
1. One and a half times (1.5X) the basic hourly rate for work done after the working hours or during an off day
2. One day basic pay for half-day of work on a rest day
3. Two-day salary for more than half-day of work but less than one day of work on a rest day
4. Add any allowances that they are entitled to for coming to work on their rest day
5. A minimum of one day of pay at the basic rate for work on a public holiday.
Hope the above clarifies
May
Dear Esther,
Yes, it is possible for the overtime rate to be 2.0
Kindly note that the minimum based on labour laws is 1.5x. So if you pay more than this, it won't be a problem.
However, paying less than the minimum will.
Regards,
Chris
Dear Esther,
According to information from MOM, it is now one day for up to 4 hrs or 2 day's pay for up to 8 hrs work on rest days.
Regards
Collin
Overtime pay x 2.0 applies to work on a rest day eg Sunday.
I am surprised your payroll vendor does not know about this.
Munjit
Dear All
Thank you for all the replies.
My question is on the overtime payment for rest days.
In the past, did the 2.0 rate apply for any kind of overtime pay for a rest day?
I asked this question because I saw the rate of 2.0 in our payroll system and the payroll vendor could not explain why.
My understanding is as follows:
1. One day is paid for less than half-day work on a rest day
2. Two-day salary is paid for more than half-day
3. The rate of 1.5 applies for any additional hours after normal hours.
I do apologise if my question was not clear earlier.
Yours Sincerely,
Esther
HRSINGAPORE | HR Community Message | Overtime rate
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