How to create an extra hours payment exception?

Extra hours payment exceptions allow you to apply special compensation rules during specific periods, such as holidays or special events.

These exceptions are configured in the Pay Policies module, under the Exceptions tab.

Administrators and managers with editing permissions can create and manage these exceptions.

Use this feature when it is necessary to set different percentages, limits, or names from the standard overtime rules, ensuring correct calculations and transparency in reports. 

Important: Exceptions will only be created for Extra Hours payment, regardless of the original Pay Policy. In other words, the Banked Hours rules are not included in the Exceptions.

1. Open the exceptions tab

   • In the side menu, click Pay Policies.

   • Select the Exceptions tab at the top.
     
     

2. Create a new exception

   • Click + New exception.

   • A side window will open for creating the exception.
     
     

3. Enter exception details

   • Name: enter a clear name to identify the exception.

   • Date: Choose the start and end dates for which the exception should be applied.

   • Compensation phases:

     • Days: the days of the week on which that category should be counted.

     • Pay rates: specify the extra compensation percentage.

     • Name: change the phase name if necessary.

     • Limit: define the time limit for the period, if necessary.
       If you set a limit, hours worked within that limit will be categorized in the selected phase, and hours exceeding that limit will be categorized in the next phase created right below it.

   • Click New row to add another interval (days of the week) to that exception.
     Note: the days cannot overlap.
     
     

4. Save the exception

   • After entering all details, click Save.

   • If validation messages appear, correct the required fields.

   • The exception will appear in the Exceptions list.
     
     

5. Add employees

   • After saving, you can assign employees by clicking Add employees in the exception list.

   • Select the employees and the start date.

   • Confirm to associate them with the new exception.
     
     

Tips or troubleshooting

• Ensure percentages and limits comply with labor laws and internal policies.

• If employees are not shown, ensure they belong to the correct group.

Best practices

• Name the exception descriptively for easy identification in reports.

• Review exceptions regularly to keep them current.

• Avoid overlapping exception periods when configuring times.

Frequently asked questions

1. Can I edit an exception after saving?
   Yes, but only while there are no assigned employees. Simply click on the exception in the list and adjust the desired fields. After adding an employee, it is not possible to edit the group.

2. Do exceptions apply to all employees?
   No. You must select which employees are affected.

3. Do exceptions replace standard overtime rules?
   Only during configured periods. Outside of these, normal group rules apply.

4. How do I know if the exception is active?
   In the list, check the Status column. Active exceptions are labeled as ACTIVE.