Understanding Overtime Processing for Spain
PeopleSoft Global Payroll for Spain enables you to pay overtime hours. Each organization can specify the annual, monthly, or weekly hours worked based on the maximum legal number of hours established by the government. Overtime (horas extra) occurs when an eligible payee works more than the specified number of hours. In this case, the employer should pay a surcharge on the extra time worked.
Note: Not all organizations pay overtime for extra hours. When implementing the system, consider whether your organization manages overtime as extra hours.
Two types of overtime exist, depending on ordinary or extraordinary circumstances:
Term |
Definition |
|---|---|
Structural overtime (horas extras estructurales) |
Overtime that an organization requires to:
This type of overtime is usually approved by labor unions. |
Non-structural overtime (horas extras no estructurales) |
Overtime not related to extraordinary circumstances. |
This diagram illustrates how the overtime functionality, from entering hours to overtime calculation, to output of gross salary and social security contributions, fits into the overall pay process flow of PeopleSoft Global Payroll for Spain.
