California Overtime Rule Gen2

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What is California Overtime Rule?
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Posted 4 years ago

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Hi Ramon,

Thank you for using Replicon Community.

In California, the general overtime provisions are that a 'nonexempt' employee 18 years of age or older, or any minor employee 16 or 17 years of age who is not required by law to attend school and is not otherwise prohibited by law from engaging in the subject work, shall not be employed more than eight hours in any workday or more than 40 hours in any workweek unless he or she receives one and one-half times his or her regular rate of pay for all hours worked over eight hours in any workday and over 40 hours in the workweek. Eight hours of labor constitutes a day's work, and employment beyond eight hours in any workday or more than six days in any workweek is permissible provided the employee is compensated for the overtime at not less than:

1. One and one-half times the employee's regular rate of pay for all hours worked in excess of eight hours up to and including 12 hours in any workday, and for the first eight hours worked on the seventh consecutive day of work in a workweek; and
2. Double the employee's regular rate of pay for all hours worked in excess of 12 hours in any workday and for all hours worked in excess of eight on the seventh consecutive day of work in a workweek.

Replicon provides an option to pay employees for daily, work week, and/or seventh consecutive day overtime.

You can create an 'California Overtime' rule by following the steps listed below:

1. Log into Replicon with administrative rights. Also, only systems that have 'Time & Attendance' licenses can setup overtime rules.
2. Click on 'System--->Administration'. Under 'TimeSheet Setup' click 'Overtime Rules'.
3. Click on 'Add' , to create a new overtime rule.
4. Enter a 'Name', 'Description' and ensure that the 'Enabled' button is selected.
5. In the 'Templates' drop down select 'California Overtime'

You will be provided with the following options:

a. Daily overtime:

This overtime condition will ensure that a user will be paid different pay codes, based on the hours worked between two points in a single day and based on the hours worked in excess of a set point on a single day. For example, a user will be paid a specific pay code for any hours worked beyond 8 but less than 12 and the same user will be paid a different pay code if he works beyond 12 hours on that day.

b. Work week overtime

This overtime condition will ensure that a user will be paid for any hours worked that exceed the weekly total hours you specify in a single work week. But, each day, only hours up to the straight time amount you specify count towards the weekly total. This means that if a user is allotted 8 hours per day, then the system considers the overtime for the work week as hours in excess of 40 hours, provided, the user has worked a minimum of 8 hours for each day of the work week.

c. Seventh consecutive day overtime

This overtime condition will ensure that a user will be paid different pay codes, based on the hours worked between two points, on the 7th consecutive day of a single work week and based on the hours worked in excess of a set point, on that 7th consecutive day. This means that if an employee works on the 7th consecutive day of a work week, i.e say Sunday to Saturday, with Saturday being the 7th day of that work week, than he/she will get paid at a unique pay code for any hours worked between 0 to 8.Also, if the user works more than 8 hours on the 7th day of the work week, then he/she gets paid at a different pay code.

6. Click on the 'Save' button.

Thanks,
Lingaraj

(Originally posted by Lingaraj Dharwad)