Two ways to compensate your employees' overtime without paying them a cent!
Ironically, while tomorrow's public holiday is called Workers' Day, many employees still show up to work on this day. And while some companies are doing all they can to cut the amount of overtime employees work, others are happy for employees to be in the office at all hours to get through their workload and ensure production targets are met. Luckily, there are two ways to 'pay' your employees for their overtime that won't affect you're company's coffers!
Weaver city in Alabama is looking to cut its employees' overtime
until the fiscal year ends to save Weaver an estimated $50,000, says The AnnistonStar
That shows how expensive it can be to have your employees working overtime
Overtime trade-off option 1: Work a public holiday in exchange for another day off
For example, your employee can choose to work on a public holiday – like Workers' Day tomorrow – and exchange the public holiday for any other day if you've both agreed to this on an ad hoc basis.
This means your employee can work on a public holiday in exchange for an extra day off over his child's school holiday if he doesn't have enough annual leave accumulated to do so and he doesn't want to take a day's unpaid leave.
The best part?
Your employee can do this to work on a religion-based public holiday like Good Friday, to exchange the public holiday for a religious holy day of his own faith that's not recognised as a public holiday, such as Rosh Hashanah if he's Jewish, says Taryn Strugnell on FSP Business
Overtime trade-off option 2: Work overtime for time off in lieu of payment
You can also give your employee time off in lieu of payment for overtime
if you have an agreement in place, according to the Basic Conditions of Employment Act
Just remember that if you go with this option, you need to give the employee the time off within a month of his working overtime
There you have it. Two great overtime
trade-offs that'll keep your employees happy without affecting your business bottom line!
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