Overtime pay
For illustrative purposes only Image Credit: iStockphoto

Question:

I have been working in a factory for two years. I want to know how overtime allowance is calculated, and is there a maximum daily overtime hours? Do I have the legal right to refuse working overtime? How to calculate overtime allowance for vacation days? Do I have the legal right to claim a cash allowance in addition to a day off instead of the day I worked? Please advise.

Answer:

Overtime allowance is calculated as follows:

(1) If the work conditions necessitate that the worker works for more than the normal working hours, for which the worker shall receive a wage equal to the wage corresponding to the normal working hours, which is calculated according to the basic wage, plus an increase of not less than (25%) twenty five percent of that wage.

If the work conditions require that the worker works overtime between 10 pm and 4 am, the worker shall be entitled, to receive the wage prescribed for the normal working hours calculated according to the basic wage plus an increase of not less than (50%) fifty percent of that wage. The workers working based on shifts shall be excluded from this clause.

(2) As per Article 19 of the Labour Law, the employer may instruct the worker to work overtime over the normal working hours, provided that they do not exceed two hours per day. The worker may not be instructed to work for more than that period, except in accordance with the conditions and rules specified by the Implementing Regulation hereof. In all cases, the total working hours shall not exceed (144) one hundred and forty four hours every (3) three weeks.

(3) If the circumstances require that the worker works on the weekend specified in the employment contract or work regulation, he shall be compensated with another day off OR he shall be paid the wage of that day according to the wage established for normal working days, plus an increase of not less than (50%) fifty percent of the basic wage for that day. A worker shall not be instructed to work for more than two consecutive weekend days, except for day workers. Which means that you have to choose either payment or another day off.