Overtime As Per Factories Act

Dear,Overtime should be paid at double the rates of wages. If your definition of wages, as per the Payment of Wages Act, includes HRA, CCA, and other allowances, then overtime should be calculated as twice the basic salary and all allowances.Thank you.Regards,J....

Dear Seniors,For the calculation of overtime (OT), apart from Basic and DA, can we include HRA, CCA, other allowances, and conveyance, or simply Basic and DA? Kindly help me in this regard.Thanking you,Yours faithfully,AVGN Vara Prasad

Hi Sunnydays,Overtime (OT) can be paid on only basic + DA, and there is no rule to consider other allowances except for food allowances.

Hello,The Factory Act states the following:a) As per Section 59(1), it has to be paid at the "ordinary rate of wages."b) Section 59(2) defines ordinary rates of wages as basic wages plus such allowances as the worker is entitled to for the time being, excluding ...

Should overtime be paid for rest hours? Suppose a person is asked to stay in the second shift for 8.5 hours, which includes a half-hour rest period. Should the employee be paid overtime for the 8 hours or 8.5 hours?Regards,Anil Malik

Permitting or asking an employee to work overtime for 8 hours in any way is illegal. However, in case you have asked him to do so, he should be paid for the extra hours. Specifically, he should be compensated for 8.5 hours of work.

Different enactments have given different definitions to the word wages. But one thing is common to all, and that is basic wages and dearness allowances. Since overtime is paid for work extended beyond one's scheduled working hours, the compensation for those ex...

Dear All,(OT paid on Basic+DA+Special Allowance+Cash value of subsidized food) and any other allowance except conveyance allowance and HRA.Hope this will clear the confusion.