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krunal-patel1
Respected Seniors, As per S & E Gujarat and Factory act working more than 48 Hours a week are applicable for Overtime payment.
This overtime is applicable for Office staff (Like HR and Account, which are not directly involved in Production activity or process) as well?

From India
ashakantasharma
1

Yes, overtime provisions typically apply to office staff as well, including HR and Accounts personnel, under both the Shops and Establishments Act (S&E Act) and the Factories Act in Gujarat, as well as in many other states in India. Here's how it generally works:

1. **Shops and Establishments Act (S&E Act)**:
- The S&E Act regulates the working conditions of employees in shops, commercial establishments, and offices. It typically defines the maximum number of hours that an employee can work in a week (usually 48 hours, as per your reference).
- If an employee, including office staff, works beyond the stipulated hours in a week, they are entitled to overtime pay.
- Overtime rates are usually calculated as 1.5 times the regular wage rate for overtime hours worked.

2. **Factory Act**:
- The Factories Act applies specifically to factories and similar premises where manufacturing processes take place.
- Similar to the S&E Act, it sets limits on the hours of work for employees. Any work beyond these hours qualifies for overtime.
- Office staff in a factory environment, even if not directly involved in production activities, are covered under the overtime provisions if they exceed the prescribed working hours.

3. **Applicability to Office Staff**:
- Office staff such as HR, Accounts, Administration, etc., are considered employees under the labor laws and are entitled to the same rights and protections as other workers regarding overtime.
- The determination of whether overtime applies is based on the total hours worked in a week exceeding the statutory limit (typically 48 hours under the S&E Act).
- It doesn't matter if the office staff is not directly involved in production activities. What matters is the total hours worked in a given week.

4. **Calculation of Overtime**:
- Overtime pay is usually calculated based on the regular wage rate of the employee.
- For example, if an office staff member works beyond 48 hours in a week, any additional hours would be compensated at 1.5 times their regular hourly wage rate.

5. **Compliance and Record-Keeping**:
- Employers are required to maintain accurate records of hours worked by all employees, including office staff.
- These records should clearly indicate regular hours, overtime hours, and overtime pay provided to each employee.
- Compliance with these regulations helps in avoiding legal issues and ensuring fair treatment of employees.

In summary, yes, overtime provisions under the S&E Act and Factory Act in Gujarat (and similar laws in other states) apply to office staff, including HR and Accounts personnel. It's important for employers to understand and comply with these regulations to avoid legal liabilities and ensure a fair working environment for all employees.

From India, Guwahati
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