Is Recording Time-In and Time-Out Essential for Service Industry Employees?

Hi,

I have been following this site for the past two months, but this is my first time posting a message on it. I have a query that I would like to present and request expert comments from all of you.

In any organization, capturing attendance is mandatory. However, in an organization that caters to the service industry, is it necessary to record the time-in and time-out of all employees?

Please let me know.

Thanks,
Sumit

Hi Sumit,

Attendance recording is necessary. Capturing time-in and time-out is crucial. Without this information, it is impossible to determine an employee's working hours and overtime, which are statutorily prescribed. The method of capturing time-in and time-out depends on your organizational resources and procedures.

Warm Regards,
RSrikanth

Hi Srikanth,

In my company, we do not pay anything as overtime. We capture the in and out time through the access card system but: 1. This is not a very authentic way of capturing time as sometimes people enter/exit through the gate while it is open. 2. The data captured by the access card is not linked to the attendance system.

Now, my query is whether it is statutorily mandatory to capture in and out time or not?

Thanks,
Smit

Hi Sumit,

Now, in these days, it has become a general practice of companies to include clauses in the appointment letter or employment manual which state that late coming on three or more occasions will be considered absenteeism for one day. These clauses are useful for management to observe the work behavior of employees and to determine the amount of overtime work done by them. After all, punctuality is key to success.

With specific reference to your question, I would like to add that there are no specific laws governing the time in and time out of employees in the company. It is the company policy, employment manual, or standing orders that cover this aspect of employment.

Regards,
Prasad

Hi Praised,

You are absolutely correct to state that the appointment letters contain a clause for late arrivals and corresponding actions on 2 or 3 such recurrences. But my query is basically related to a statutory point of view. I want to know whether it is mandatory for us to capture our time as well or if we can do away with it. Is there any provision where any government agency can ask us for any such data, or in the case of any legal issue, can the court ask us to provide the out-time of the employee?

Thanks,
Sumit

Hi Sumit,

Statutes do not have specific provisions on time in and time out. They have provisions on working hours. Hours of work are statutorily prescribed and may differ from state to state. Hours of work are the time during which the persons employed are at the disposal of the employer, exclusive of any interval allowed for rest/meals. If you have defined hours of work and displayed the same in your office, that is sufficient.

Now, your organization, being a service organization, is covered by the Shops and Establishments Act. The details showing the working hours for various states as per statutory provisions are attached herewith.

You mentioned that overtime is not paid in your organization. It is not proper to engage any employee beyond working hours and not pay overtime. Anyway, please go through the statutory provisions.

Warm Regards,
RSrikanth
Hyderabad

Srikanth is right. Let me put it another way: how would you prove that your organization doesn't exploit staff by making them work for excessive hours? You would need a time record and work schedule to which you adhere. The maximum overtime hours in a quarter is 50, so think deeply.

Surya

Sir,

Can you clarify again while we count the total working hours, if the half an hour for interval for each completion of work of 5 hours is excluded or included in the total hours?

Please clarify this for me.

Thanks & Best Regards,

A. DASH
dash_abhimanyu@yahoo.co.in