Over Time Allowance : OTA admissible to Non-Industrial Employees

Over Time Allowance : OTA admissible to Non-Industrial Employees in workshops

Overtime allowance for Workshop Staff :

Where the payment of overtime allowance is regulated under the Factories Act or other statutory enactment, it will continue to be so regulated. In the case of the overtime allowance payable otherwise than according to the statutory provisions, the Third Pay Commission have made the following recommendations...

Where the system of overtime work continues, the period of overtime should be calculated on a weekly basis and overtime allowance should be made admissible only if the work put in during a working week of six days exceeds 48 hours, in reckoning these 48 hours, the period allowed for meal breaks should be included.

In the Government Presses, where the prescribed weekly hours are less than 48, the work done between the prescribed fours and the weekly norm of 48 hours is compensated in the form of overtime allowance at double the time rate. Compensation for such work should be only at the time rate in future.

It has been decided that these recommendations will not apply to existing employees working in the industrial establishments of the Government. They may continue to be governed by existing rules. Attempts, should, however, be made to apply the recommendations to those who join service on or after 8.12.1974 and to employees of new industrial units.

For this purpose, it may be necessary to amend standing orders, given notice of change, etc. The Administrative Ministries are requested to try the system as recommended by the Pay Commission wherever they find it feasible and in any case wherever a new industrial unit is established. In such cases, the rates of overtime allowance which may be prescribed by rules or orders should be in accordance with the Pay Commission's recommendations.

Overtime allowance for Non-Industrial Staffs :

Non-Industrial employees, whose hours of work and holidays are the same as those of industrial staffs, the existing rates of allowance may continue, if such non-industrial staffs are already covered by a scheme of OTA.

Extract of recommendations regarding the above subject from the 3rd CPC Report...

If such non-industrial employees are not present covered by any scheme of overtime allowance, they may be allowed overtime allowance but only at the time rate for work i excess of the prescribed ours but not in excess of 48 hours in a week of 9 hours on any day. For work in excess of nine hours on any day or 48 hours in a week, the non-industrial employees in workshops may be given overtime allowance at eh same rate as is admissible to the industrial employees.

GOI, Ministry of Finance orders issued on 11.8.1976 regarding OTA.
[http://circulars.nic.in/WriteReadData/CircularPortal/D2/D02est/jha_20.htm]

 

Overtime :  Industrial  employees  are  entitled  to  additional  payment  for work done beyond the normal working hours. There are two sets of rules applicable for overtime payment viz. (i) Departmental Rules and (ii) The Factories Act.

For work beyond normal working hours and upto 9 hrs. a day or beyond 44.75 hrs  upto 48 hrs in a week, overtime is paid under departmental rules which is known as DOT. For work done beyond 9 hrs. a day or 48 hrs a week, payment is admissible at twice the rate of pay plus all allowances under the  Factories Act (often loosely termed as OT Bonus).

OVER TIME PAYMENTS UNDER DEPARTMENTAL RULES (DOT)
In the case of Day Workers, the overtime is paid at the rate of Basic Pay + Dearness Allowances + City Compensatory Allowance + Personal Pay + Special Pay + Pension to the extent as applicable, divided by 200 for each hour of overtime worked. The hourly rate is the same for the work done both in Day & Night Shift.
In the case of Piece Workers, again there are two sets of rules for DOT. It is calculated @ Basic Pay (alone)/200 per hour in the day shift. For working in the night shift, an additional element known as Night Shift Bonus is also added. This is calculated for half an hour for each hour of overtime worked under departmental rules @ (Basic Pay + Dearness Allowances + City Compensatory Allowance)/200.
 
OVER TIME PAYMENTS UNDER THE FACTORIES ACT, 1948
For work done, beyond 9 hrs. a day or 48 hrs a week, there are two sets of rules – one for the Day Worker and the other for the Piece Worker.
Day Worker: Hourly rate of payment which are applicable equally in the day shift as well in the night shift is calculated at the rate = twice the pay & allowances/200. Piece Worker: Hourly rate of payment in the day shift is calculated at the rate = twice the pay & allowances/200. In the night shift, the same becomes = (twice the pay + pay/4 + allowances)/200.