Manage overtime premium exemptions
Set which employees are exempt from overtime premium rules.
This training manual provides a step-by-step guide on how to set Overtime Premium Exemption in the HRIS + Payroll system. This feature allows selected employees to be exempted from receiving overtime premium pay. Overtime-exempt employees are not eligible for overtime premium pay. Even if they render work beyond their scheduled shift, they will not receive additional overtime premium rates.
Purpose
To help users:
- Exempt specific employees from overtime premium pay
- Ensure correct overtime payroll computation
- Apply company policy for overtime-exempt employees
- Manage employees not eligible for overtime premium
Prerequisites
- Access to the HRIS + Payroll system
- Permission to access Schedule Settings
- Employee list already created in the system
Step 1: Navigate to the Attendance Module
To begin adding employees to overtime premium exemption, navigate to the HRIS + Payroll application.
Once inside the system, locate and click the Schedule module.
Step 2: Access Overtime Premium Exemption Setting
Inside the Schedule module, click the Settings button located at the top right corner of the screen. In the Settings menu, select the Overtime Premium Exemption module.
Step 3: Add Employees to Overtime Premium Exemption
Click the +Add Record button at the top right corner.
A pop-up modal will appear. Select employees by checking the checkbox beside each employee’s name.
To select all employees on the current page, click the checkbox at the top of the column.
Tip: Adjust the items per page (e.g., 10, 25, 50, 100) to display more employees before selecting, allowing you to add more in one action. Important:
- Always check the number of selected employees displayed on the screen.
- If the number of employees you want to add exceeds the maximum per page (e.g., 200 employees), you will need to add them in batches. o Example: Select and add the first 100 employees, then repeat the process for the remaining employees. Once you’ve selected all desired employees, click the “Include Selected Employee” button to add them to the category. Use the search bar in the modal to quickly locate specific employees if needed.
Expected result
- Selected employees are successfully added to the Overtime Premium Exemption list
- Employees in the list will not receive overtime premium pay
- Overtime computation will exclude premium rates for exempted employees
- Changes will apply after clicking Include Selected Employees
Troubleshooting
- Employee still receiving overtime premium pay
- Employee not added to Overtime Premium Exemption list
- Employee not in selection list
- Employee not yet created or inactive/archived in the system
- Changes not applied
- Include Selected Employees button not clicked
- Incorrect overtime computation
- Verify if employee is correctly assigned to exemption list
Notes
- Overtime Premium Exemption means the employee will not receive additional overtime premium pay
- Employees may still render overtime, but it will not include premium rates
- Overtime pay for exempted employees will be computed as: Hours × Hourly Rate only (no premium multiplier applied)
- Commonly used for:
- Fixed salary employees