Creating a Labor Pay Rule and Assigning an Overtime Rule

1. In Reporting and Analytics, click Labor Management, and then click Payroll Preprocessing.
2. In Payroll Preprocessing, click Admin, and then click Labor Pay Rules.
3. Click Add and then fill out the Main tab:

   • Name: Enter a name for the labor pay rule.

   • Exclude Daily from Weekly Overtime: Select this option to exclude this labor pay rule from weekly overtime rules.

   • Enable Weighted Average Overtime: Select this option to omit this labor pay rule from weighted averages.

   • Require Salaried Employees to Clock In: Select this option to require salaried employees to clock in and to track their hours worked.

   • Include Salaried Employees in Labor Costs: Select this option to include salaried employees work hours and pay when calculating labor costs.

   • Number of Hours is Salaried Week: Enter the minimum number of hours a salaried employee is required to work.

   • Minimum Interval Between Clock-Out and Clock-In: Select the number of hours and minutes an employee must wait between clocking out and clocking back in.

     For example, if an organization has a 6 hour minimum between shifts and an employee clocks out at 2:00 a.m., the employee may not clock back in for another shift until after 8:00 a.m. If an employee attempts to clock in before the minimum number of hours has passed, manager authorization will be required to complete the clock in.

   • Allocate to Clock-in Labor Date: Select this option to apply overtime to the date the employee clocked in.

     For example, an employee works from 5:00 p.m. until 2:03 a.m. If this option is enabled, all labor hours will be allocated to Tuesday’s shift. The End OT Accumulated At The End Of Labor Week option is enabled by default. You can deselect this selection if desired.

   • Allocate to Clock-in Actual Date: Select this option to calculate the overtime based on the actual date the employee worked.

     For example, an employee works from 5:00 p.m. until 2:03 a.m. If this option is enabled, the 5:00 p.m. until 1:00 a.m. shift will be allocated to Tuesday’s shift and the 1:00 a.m. to 2:03 a.m. portion of the shift will be allocated to Wednesday’s shift. Both the End OT Accumulated At The End Of Labor Day and the End OT Accumulated At The End Of Labor Week options are enabled by default. You cannot deselect these options.

   • End OT Accumulated at the End of Labor Day: This option signifies that overtime is calculated on a daily basis.

   • End OT Accumulated at the End of Labor Week This option signifies that overtime is calculated on a weekly basis.

   • Effective From/To: Select the dates of effectivity of this labor pay rule.

4. On the Overtime Rules tab, select the overtime rules that affect this labor pay rule, and then click Save.