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Pravin (Officer)     28 May 2008

Overtime Rate

Hi, I just want to know the rate of overtime, if any worker worked on paid holiday. What should be the rate of OT Hour.

 

Please revert me at - pravin.p.badade@hotmail.com

Pravin Badade



Learning

 4 Replies

partharajagopal (HR)     28 May 2008

hi Pls find the formula ot per hour = (total wages per day)/8*2 so calculate for 8 hours and workout with regards partha

Prakash Yedhula (Lawyer)     28 May 2008

Section 59 of Facotries Act is as follows: Extra wages for overtime. 59. Extra wages for overtime. (1) Where a worker works in a factory for more than nine hours in any day or for more than fortyeight hours in any week, he shall, in respect of overtime work, be entitled to wages at the rate of twice his ordinary rate of wages. 2*[(2) For the purposes of sub-section (1), "ordinary rate of wages" means the basic wages plus such allowances, including the cash equivalent of the advantage accruing through the concessional sale to workers of foodgrains and other articles, as the worker is for the time being entitled to, but does not include a bonus and wages for overtime work. (3) Where any workers in a factory are paid on a piece-rate basis, the time rate shall be deemed to be equivalent to the daily average of their full-time earnings for the days on which they actually worked on the same or identical job during the month immediately preceding the calendar month during which the overtime work was done, and such time rates shall be deemed to be the ordinary rates of wages of those workers: Provided that in the case of a worker who has not worked in the immediately preceding calendar month on the same or identical job, the time rate shall be deemed to be equivalent to the daily average of the earning of the worker for the days on which he actually worked in the week in which the overtime work was done. Explanation.--For the purposes of this sub-section in computing the earnings for the days on which the worker actually worked such allowances, including the cash equivalent of the advantage accruing through the concessional sale to workers of foodgrains and other articles, as the worker is for the time being entitled to, shall be included but any bonus or wages for overtime work payable in relation to the period with reference to which the earnings are being computed shall be excluded.] 1*[(4) The cash equivalent of the advantage accruing through the concessional sale to a worker of foodgrains and other articles shall be computed as often as may be prescribed on the basis of the maximum quantity of foodgrains and other articles admissible to a standard family. Explanation 1.--"Standard family" means a family consisting of the worker, his or her spouse and two children below the age of fourteen years requiring in all three adult consumption units. Explanation 2.--"Adult consumption unit" means the consumption unit of a male above the age of fourteen years; and the consumption unit of a female above the age of fourteen years; and that of a child below the age of fourteen years shall be calculated at the rates of .8 and .6 respectively of one adult consumption unit. (5) The State Government may make rules rescribing- (a) the manner in which the cash equivalent of the advantage accruing through the concessional sale to a worker of foodgrains and other articles shall be computed; and (b) the registers that shall be maintained in a factory for the purpose of securing compliance with the provisions of this section.]

sangram (service)     31 May 2008

I think, If a worker works for paid holiday, it does not require to pay OT.

RAMRAVINDRAN (co-ordinate)     05 June 2008

Dear Yadhul,

I am confused in 59 (2) (3) clause of FAct. Kindly give me a detail/with an example for piece rate workers as per sec. 59(2)(3) in your post.

For an example one worker is working on piece rate basis and he is getting Rs. 1242 per week and also he is working nearly 12 hrs.per day.
Pls. give your guidance

ramravind

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