Processing Overtime and Minimum Wage Requirements for Piecework

When you pay employees by the number of pieces that they complete, you must ensure that the pay that they receive meets federal and state minimum wage requirements. You must also determine what the employee's average hourly rate is to pay the correct rate for any overtime that is worked.

Using the Timecard Automation module, you can automatically change existing timecards and create additional timecards to make sure that the employee is paid at the correct rate and according to legal requirements. To process timecard automation rules for overtime and minimum wage requirements, you must first create employee groups that include all of the piecework employees that you want to process. After you create the employee groups, you must process the groups using the piece rate overtime rule and the minimum wage requirement rule.

You use these functions to set up the rule sets that you use to process overtime and minimum wage requirements for piecework:

• OCR_MinWageAdjustment_1

• OHRF_AverageRateBasedOnLumpSum

After you process these rule sets, you can review the timecards that the system automatically creates for the employees before you process the timecards through a payroll cycle.