What is the maximum amount of overtime allowed as per the Factories Act in a month and in a quarter?
How do we need to apply for Overtime Exemption and how many hours will we get an extension?
Please Suggest
Regards
Yahappan
From India, undefined
How do we need to apply for Overtime Exemption and how many hours will we get an extension?
Please Suggest
Regards
Yahappan
From India, undefined
There is no maximum amount fixed for overtime because the amount will depend on the wages, and higher wages higher would be the overtime amount.
However, the Factories Act has put a restriction on the maximum hours that an employee shall be allowed to do overtime. It is 50 hours per quarter. There are state amendments to this provisions, and most of the states have made it 75 hours per quarter. Once the OSHWC Code is enforced it will become 125 hours per quarter.
You cannot get any permanent exemption from the provision regarding hours of work or overtime. If you have more work for which your workers should be engaged more hours than specified, you should employ more workers and complete the work. It is not that you can use the same workers to do the additional work. Even though the employees are compensated by paying overtime wages which is double the ordinary rates of wages, it will ultimately affect their health. That is why the government has restricted the hours of overtime. Please see that where ever the provisions relating to hours of work or overtime hours is written in the Act, it is like " no worker shall be "ALLOWED" to work.....". Moreover, employing more workers would generate more employment opportunities as well. Therefore, you will not get any exemption to you from the Inspector of Factories and Boilers. But practically, no Inspector will question you if any of your worker is allowed to work for more than 50/75 hours in a quarter.
From India, Kannur
4253However, the Factories Act has put a restriction on the maximum hours that an employee shall be allowed to do overtime. It is 50 hours per quarter. There are state amendments to this provisions, and most of the states have made it 75 hours per quarter. Once the OSHWC Code is enforced it will become 125 hours per quarter.
You cannot get any permanent exemption from the provision regarding hours of work or overtime. If you have more work for which your workers should be engaged more hours than specified, you should employ more workers and complete the work. It is not that you can use the same workers to do the additional work. Even though the employees are compensated by paying overtime wages which is double the ordinary rates of wages, it will ultimately affect their health. That is why the government has restricted the hours of overtime. Please see that where ever the provisions relating to hours of work or overtime hours is written in the Act, it is like " no worker shall be "ALLOWED" to work.....". Moreover, employing more workers would generate more employment opportunities as well. Therefore, you will not get any exemption to you from the Inspector of Factories and Boilers. But practically, no Inspector will question you if any of your worker is allowed to work for more than 50/75 hours in a quarter.
From India, Kannur
Dear Yahappan,
The maximum amount of overtime allowed as per the Factories Act in a quarter is 50-54 hours. In exigency the factory can request the Chief of Factory and Boiler for enhancement by some more hours. The authority may or may not allow after having a study of workmen health and hygienic conditions.
Why do we need more over time hours than the prescribed limit is a big question.The prescribed limit of OT hours fixed at a point of time, when most factores we're with poor technology but now the scenario is completely oposite.
In view of that, it is presumed either the factory run with old machinery, or low productivity of man and machines or running with low manpower is a subject of study.
Why do you want exemption of OT ?
But the OT can't be demanded and is controlled by the management. It is a regulation that allows the factory to utilise the available manpower for extra hours of working in an exigency or in emergency.
Further, your management can form a policy or rule to curtail the overtime hours.
Your posting gives me an understanding that Workers may be demanding for OT as an extra income to them, it is a common scenario accross the industries. The management needs to compensate. If there is low rate of payment. Therefore, you need to do the Time study and motion study are both techniques used to improve work efficiency and productivity, if required management can think of piece rated wages. Hopefully you have the reply.
From India, Mumbai
The maximum amount of overtime allowed as per the Factories Act in a quarter is 50-54 hours. In exigency the factory can request the Chief of Factory and Boiler for enhancement by some more hours. The authority may or may not allow after having a study of workmen health and hygienic conditions.
Why do we need more over time hours than the prescribed limit is a big question.The prescribed limit of OT hours fixed at a point of time, when most factores we're with poor technology but now the scenario is completely oposite.
In view of that, it is presumed either the factory run with old machinery, or low productivity of man and machines or running with low manpower is a subject of study.
Why do you want exemption of OT ?
But the OT can't be demanded and is controlled by the management. It is a regulation that allows the factory to utilise the available manpower for extra hours of working in an exigency or in emergency.
Further, your management can form a policy or rule to curtail the overtime hours.
Your posting gives me an understanding that Workers may be demanding for OT as an extra income to them, it is a common scenario accross the industries. The management needs to compensate. If there is low rate of payment. Therefore, you need to do the Time study and motion study are both techniques used to improve work efficiency and productivity, if required management can think of piece rated wages. Hopefully you have the reply.
From India, Mumbai
Hi,
Karnataka Factories act amendment 2023
6. Amendment of section 65.- In section 65 of the Principal Act, in sub-section (3),-
(i) in clause (iv), for the words “seventy five” the words “one hundred and forty-four hours” shall be substituted;
(ii) after clause (iv) the following shall be inserted, namely:-
“(v) a worker shall be required to work overtime subject to the written consent of such worker for such work.”
From India, Bengaluru
Karnataka Factories act amendment 2023
6. Amendment of section 65.- In section 65 of the Principal Act, in sub-section (3),-
(i) in clause (iv), for the words “seventy five” the words “one hundred and forty-four hours” shall be substituted;
(ii) after clause (iv) the following shall be inserted, namely:-
“(v) a worker shall be required to work overtime subject to the written consent of such worker for such work.”
From India, Bengaluru
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