How to Create an Overtime Leave Policy through Settings Menu

Article author
Learning Center Mekari
  • Updated

In general, not all companies have policies to pay employees overtime. Some companies have policies that replace overtime with leave. In Talenta, you can set the overtime policy by accessing the Settings Menu Time.

Important
Before you can use this feature, you need to activate it first by contacting the support team at support-hr@mekari.com.

Previously, you could learn about:
[Blog] Definition and Understanding of Types of Overtime Work

Here are the steps:

  1. Go to the Settings page.
  2. Click the Time menu, then select Time Off
  3. Click the Overtime leave tab, then create a General Policy first by clicking “Edit”.
  4. Complete the required information. Fill in the name of the overtime leave policy in Policy Name, the overtime leave code created in Policy Code, and a brief description of the overtime leave in Description. And click “Save changes” to save.
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  5. In the list Compensation rule, there are Default Settings rules you can use, with policies that apply to all employees.
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    This default setting cannot be deleted.

  6. However, if your company has different overtime leave rules for each employee, you can create more than one policy by clicking the “Create overtime rule” button.

  7. Complete the required information. Enter the name of the overtime leave policy in the Compensation rule name.

  8. Then, you can select one of the options under Concert overtime based on Total duration or Minimum hours.

  9. Next, check the Enable clock in and clock out validation box to display the Overtime and Time Ledger (or Overtime and Work Time Records) with attendance validation. Then, enter the overtime duration in the hours and minutes columns. Then, specify the conversion value for determining the overtime replacement in the Convert to column in days (Example: Enter 0.5 if overtime is calculated as half a day).

    - As long as the balance hasn't been calculated by the system (request/overtime/approval date
    - For Total duration, the overtime leave balance will be multiplied if the overtime duration is doubled according to the rules. Example:
    Initial setting → 2-hour rule → (converted to) 1 day.
    Approved overtime duration → 4 hours.
    Result → 2 days.

    - For Minimum hours, will only be converted to 1 day/0.5 days if the approved overtime duration meets the minimum rule.
    Example:
    Initial setting → 2-hour rule → (converted to) 0.5 days.
    Approved overtime duration → 4 hours.
    Result → 0,5 day.

  10. If you select Total duration, you can specify the validity period of the overtime balance in the Overtime accumulation period.

    - Continuous (No Expiration): The overtime balance that can be saved will not have an expiration date. Expired.
    - Specific date: Determining the overtime balance that can be saved, with an expiration date of a specific month and date.

    - Daily: Determining the overtime balance that can be saved, with an expiration date after the number of days of overtime requests is approved.

    - Monthly: Determining the overtime balance that can be saved, with an expiration date after the number of months of overtime requests is approved. Approve.

    - No accumulation (expired immediately): The remaining overtime balance expires immediately after the overtime leave is approved. In this section, there are two options:

  11. Next, select the Time off effective date, which consists of the categories Overtime approval, Overtime request, and Overtime date.

    - Overtime approval: Determines the expiration date for your leave balance based on the approval date. In this category, you can select Earliest approved (effective when the earliest request is received) or Latest approved (effective when the latest request is received).

    - Overtime request: Determines the expiration date for your leave balance based on the approval date. request date.
    Scenario:
    clipboard-image.png
    Table explanation:
    - Overtime approval: Untuk penentuan tanggal kedaluwarsanya saldo cuti berdasarkan approval date. Pada kategori ini, Anda dapat memilih Earliest approved (efektif pada saat request yang paling awal diterima) atau Latest approved (efektif pada saat request yang paling akhir diterima).

    - Overtime request: Untuk penentuan tanggal kedaluwarsanya saldo cuti berdasarkan request date.
    Skenario:
    clipboard-image.png
    Table explanation:
    - Overtime approval: To determine the expiration date of the leave balance based on the approval date. In this category, you can choose Earliest approved (effective when the earliest request is received) or Latest approved (effective when the latest request is received).

    - Overtime request: To determine the expiration date of the leave balance based on the request date.
    Scenario:
    clipboard-image.png
    Table explanation:
    - Request date (Earliest requested):
    If you set 8 working hours = get 1 day of overtime leave, by selecting Expired Immediately and selecting Request date, then if a request is made.
    1. Request date = March 1, 2022, with a duration of 13 hours.
    2. Request date = March 5, 2022, with a duration of 14 hours.
    3. Request date = March 10, 2022, with a duration of 14 hours.
    4. Approval date on March 15, 2022 (request 1 - request 3)

    Then the system will calculate.
    1. 13 => 1 day (5 hours expired).
    2. 14 => 1 day (6 hours expired).
    3. 14 => 1 day (6 hours expired)
    Total = 3 days

    - Approved date (Latest requested):
    If you set 8 working hours = get 1 day of overtime leave, by selecting Expired Immediately and selecting the Approval date, then if the application is made:
    1. Request date = March 1, 2022, with a duration of 13 hours.
    2. Request date = March 5, 2022, with a duration of 14 hours.
    3. Request date = March 10, 2022, with a duration of 14 hours.
    4. Approve date on March 15, 2022 (request 1 - request 3)

    Then the system will calculate:
    (13+14+14)/8 = 41/8 => 5 days (1 hour expired)

    - Overtime approval: To determine the expiration date of the leave balance based on the approval date. In this category, you can choose Earliest overtime (effective when the earliest request is received) or Latest overtime(effective when the latest request is received).

  12. Select the expiration period for the overtime leave balance in "Time off expiration".

    - No Expiration: There is no expiration date for overtime leave balances.
    - Specific date: Determining the expiration date of overtime leave balances based on a specific date.

    - Daily: Determining the expiration date of overtime leave balances after a specific number of days.

    - Monthly: Determining the validity period of overtime leave balances after a certain number of months.

  13. Next, you can choose to apply this compensation policy to “All work schedule category” (all work schedule categories) or “Selected work schedule category” (You can only select specific work schedule categories).

  14. If you select “Selected work schedule category,” then you can click “Add compensation rule” to add specific rules, as follows.

     

    No. Column/Button Name Description
    1 Work schedule category Check which work schedules you want to apply the compensation policy to.
    2 Convert overtime by You can apply overtime to leave conversion for Total duration or Minimum hours.
    3 Enable clock in and clock out validation Check to display Overtime and Time Ledger (or Overtime and Time Work Record) with attendance validation.
    4 For every Specify for each multiple the amount of overtime to convert to leave here.
    5 Convert to Determine the amount of leave from the converted multiple of overtime.
    6 Overtime accumulation If you select Total duration, then you can determine the validity period of the balance during overtime hours in the Overtime accumulation period.
    7 Time off effective date Select the Time off effective date which consists of the categories Overtime approval, Overtime request, and Overtime date.
    8 Time off expiration Select the validity period for the overtime leave balance in this column.
  15. Select specific employees by clicking “Assign & update employee” to apply the overtime policy.

  16. Specify the employee name by clicking the “add” icon as shown below, then select “Assign employee”.

    - To make it easier for you to search for employee names, click “Filter”.
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    - Then, you can select the criteria based on branch, organization, job level, job position, and employment status. Then click “Apply filter”.
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    - You can also select all employees with a click on “Select all”.
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  17. Then, a list of selected employees will appear. You can also check “Make this the default rule for new employees” to apply the general rule to new employees.

  18. Click “Save” to Save.
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  19. Then your overtime policy will look like this.

  20. You can also edit a policy you've created by clicking “Action” and selecting Edit, or delete it by selecting Delete.
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Once the overtime leave policy has been created, you can submit employee overtime in the Time menu. Employees can also submit overtime through Talenta mobile.