Confused About Factory Working Hours and Overtime Pay? Need Urgent Advice!

Hi Members! Please answer a small query I joined newly in a factory before my joining no body in HR department Now I want to know the working hours generally in any factory will follow this because my company working from 9.00 am to 6.00 pm on all 5 days. All Saturdays & Sundays are holiday's b'coz MNC Company but this is not a policy to work only 5 days in a week If any employee working on Saturday we will pay OT pay for working on Saturday This payment we made for regular as well as Contract employees OT payment we will pay 150% on Saturday Now my management wants to reduce the OT payment in Saturdays for contact employees if it's possible even regular employees also. My question is in 9.00 to 6.00 working hour's weather we will count break times also or not. Break times like 15 min tea break ½ hr lunch break 15min tea break In this scenario what is the actual working hours? Those who will work in Saturday we will pay only daily wage for contact employees is it justify. Or other we have to pay OAT payment on Saturday Please guide.............. Its urgent.... Regards, Rammish :lol:

According to the rules, normal working hours per week are 44.75 hours, with 8 hours per day. Any additional hours worked beyond this will be considered overtime and must be calculated at 200%.

According to the rules, normal working hours per week are 44.75 hours, with 8 hours per day. Anything beyond that will be considered overtime (OT) and has to be calculated at 200%. I also need to consider breaks when calculating daily working hours, including lunch and tea breaks. Please provide information on overtime rules for contract employees.

Hi,

As per the Factories Act of 1948, a worker is required to work a maximum of 48 hours, exclusive of intervals for rest, in a week as mentioned in Sections 51, 55, and 56. Please also refer to Section 52, which specifies the weekly rest on the 1st day of the week - the 'said day' or any other day that has been substituted.

In your case, workers are currently working for only 7.5 hours a day for 5 days, whereas your employer has the right to require work for 8 hours a day for 6 days. Consequently, your employer should not be obligated to pay overtime for Saturdays.

Manish

Can anyone submit any proof or reference for the payment of overtime wage for the contractual workers, please? In our state, we are paying the OT wages at the normal wage rate per day, based on the number of working hours per day.

Pragatika:?:

Normal working hours from 9 am to 6 pm, including rest or lunch time, are appreciable. Since you are not covered under the Factories Act, you can set your working hours, overtime rate, and weekly off. In an organization with a 5-day workweek, the overtime wage rate should also be within your control. A standard 48-hour workweek is not met in your situation. Hence, there is no issue in requiring workers to work on Saturdays at a single wage rate, as they still have a full day of rest on Sundays.

The challenge lies in the absence of your own Standing Orders. Employees are currently benefiting from 1.5 times wages for overtime, which cannot be revoked as it has become their right. It would be advisable to review and adjust schedules and overtime policies in consultation with your workers. Even under the Factories Act, a worker's regular working hours are set at 9 hours, not 8 hours, and only one day off per week is mandated.

Regarding contractual employees, if they are employed through a contractor and are not listed on the Muster rolls, the responsibility to pay overtime rests with the contractor, not you. If these employees are appointed by you for a specific period with payments made directly by you, they should be treated on par with regular employees, subject to the same rules on overtime and working hours.

Regards, Madhu.T.K

Hi!

Working hours are fine, and the lunch and tea breaks are included in this. These things are a part of official working. As for overtime (OT) payment on Saturdays, it is meant only for labor-class people; staff is not included in OT. If one wishes to work on Saturdays, they will not be paid any OT. However, in the labor class, if a worker is working on Saturdays or Sundays, they will be paid OT charges as defined in the company policy.

Yamini