What Is Overtime?
Overtime (overtime work) is work that arises when the weekly statutory working time of 45 hours is exceeded. It is regulated under the Labor Law, and both its limits and its remuneration are guaranteed by law.
Accurately tracked working-time processes both ensure legal compliance and protect employee rights. Incorrect or incomplete overtime records, on the other hand, can lead to both wage disputes and employee dissatisfaction.
Legal Limits on Overtime
Key rules to consider in overtime work:
- Weekly limit: The statutory working time is 45 hours per week; anything above this is overtime.
- Annual upper limit: Overtime work cannot exceed a total of 270 hours per year.
- Consent requirement: As a rule, the employee's consent is required for overtime work.
- Health and safety: Working hours must be planned so as not to put employee health at risk.
How Is Overtime Pay Calculated?
Calculating overtime pay follows these steps:
- The employee's normal hourly wage is determined.
- Working hours exceeding 45 hours per week are identified.
- Each overtime hour is calculated at 1.5 times the normal wage (fifty percent increase).
- If the employee prefers, instead of increased pay, 1 hour and 30 minutes of compensatory time off is granted for each hour.
- The total amount is reflected in the payroll.
With manually kept working-time records, incorrect calculation of excess hours and the increase rate is a common problem.
Advantages of Digital Working-Time Management
- Overtime is automatically calculated from check-in/check-out records
- Increased pay and the right to compensatory time off are applied correctly
- The annual 270-hour limit is monitored by the system
- Working-time records are documented and transferred to payroll seamlessly
Manage your working-time and shift processes from a single platform with Yönetim İK and minimize the risk of error in overtime calculations. Request a free demo.
Related article: How to Manage Shifts and Working Hours?
