Ot Pay

Overtime Pay on Sunday

QUESTION Dear All, My company is reviewing OT pay scale on Sundays. Currently, we have a clause that as long as an employee work more than half day (5 hours), he or she will be entitled to whole Sunday OT pay. This clause seems reasonable and creates lots of troubles, for example, some people will take the advantage of this clause to only arrange OT for half day on Sunday. Does your company also have similar rules? Is it being applied to most companies? By the way, we are in manufacturing industry. Thanks & looking forward to your advice. Pingping     REPLIES & COMMENTS REPLY 1 For payment of overtime, you have to follow the Employment Act. If your employees are non executive, You are required to pay them accordingly. If Sunday is their rest day, if their overtime less than half of their normal working day, you have to pay one day pay,. If more than half day, you have to pay 2x as it is their rest day. SL     REPLY 2 We are in the manufacturing industry too. We only allow employees to claim 2.0 x of their hourly rate on Sunday. So even if they come […]

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Overtime Rate

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. […]

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Overtime Pay On Public Holiday

Overtime pay on public holiday

QUESTION Hi HR friends, If we operate on a standard five day week and a worker comes back to work on a Saturday for say ten hours, we pay him overtime at 1.5 times his pay for 10 hrs. Does the same overtime rate of pay apply if Saturday falls on a public holiday? I have checked the MOM website but I am still confused as to whether he is entitled to the overtime pay or one extra day’s salary at the gross rate of pay or another day off for the public holiday. Appreciate any help. Thank you. Wei Fen   REPLY   Hi Wei Fen It is 1 times the hourly rate of pay for work performed on a public holiday or another day off. 1.5 times the hourly rate of pay for work performed after 8 hours on a public holiday.   Azirah     Hi Wei Fen He is entitled to both i.e overtime for working beyond contracted working hours and is also entitled to a public holiday for working on a public holiday. The information is available in the employment act and the MOM website. Regards, Chris    

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Overtime Payment

Overtime Payment

QUESTION Hi HR practitioners, Under the EA, overtime payment has to be paid within 14 days from the last day of the month. I have to close my payroll report by every end of the month for each payroll but OT for the current month will be paid later. So this should be considered as of March payroll or April? Thank you HH   REPLY 1 This should be considered as April payroll but mention as March OT Payment. MKT   REPLY 2 Take my case as an example. The OT payment to the staff latest by 14 of April is the OT incurred for March. EQ  

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Overtime Pay

Overtime Pay

Question Dear HR Professionals, I would like to know the practice of overtime calculation in general. I was puzzled that company is able to set 1.0 rate on certain staff category where it supposes to be 1.5 rate and 1.5 rate for 2.0 rate. I reckon that this can apply if the overtime pay is being stated in the Letter of Appointment. Hope to see your sharing. JC     Reply 1 Overtime pay is calculated for 1.0 as 1.5 rate: – 1.0 as 1.5 rate (technical and non technical positions) for day shift – 1.5 rate (for support positions and 2.0 rate for technical positions) for night shift Daudzai     Reply 2 Overtime pay is a legal obligations of employers. This means it must be paid to employees who are all workman (basic salary up to S$4,500) as well as non-workman (basic salary is S$2,500 and below). For these two groups of employees, the minimum computation of overtime pay must be at 1.5 times of their hourly rate. It can be higher but not less than 1.5 times. Any other employees outside these two categories are not entitled to overtime pay under the EA. This means no OT […]

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