Levelling period overtime calculation can be configured in Nepton. Calculation results are shown as additional work and overtime percentages.
Instructions on Setting up Annual worktime following can be found here.
Activation of calculation
The calculation of levelling period hours can be activated in two different ways.:
1. Levelling period - accrual
Note! This approach should be used for new configurations. If you activate the levelling period in this way, do not activate the calculation for the levelling period setting "Enabling levelling period for calculations". You can read more about the activation method using this setting below.
Accrual can be activated in the settings under Work hours> Accruals and overtime hours.
In addition, the start dates of the levelling periods need to be defined. There is no need to specify end dates for periods, as each equalization period ends the day before the start of the next period.
Start dates can be set in Work hours > Accruals and Overtime hours > Levelling period hours.
2. Activation from levelling period settings
Note! This is the legacy approach to configuring levelling periods and is no longer recommended because the start and end dates of the levelling periods cannot be determined, and the length of the levelling period can only be set in weeks. New configurations should use option 1, described above instead.
This approach is configured under Work hours > Levelling period. The length of the levelling period also needs to be determined.
Method of calculating overtime for the levelling period
There are 2 methods of calculating the overtime for the levelling period. Please see the examples below and select the most suitable for your use case.
1. Calculate overtime limits based on the length of the period
Below is an example of settings that, over a two week levelling period, would result in a levelling period that
- Amount of Regular time is 80 hours (10 working days * 8 hours a day)
- Maximum amount of Additional work is 2 hours (10 working days * 12 minutes a day)
- Maximum amount of 50% overtime is 4 hours (10 working days * 24 minutes a day)
- Maximum amount of 100% overtime is 50 hours (10 working days * 5 hours a day)
Continuing with the example above; When the work done exceeds 80 hours, overtime is created for the period. The amount of overtime is presented in the calendar and in reports. Overtime will first be replaced by additional work for a maximum of working days of the period * 12 minutes of the setting. As an additional work for the period, a maximum of 2 hours is thus formed. This is followed by a maximum of 4 hours of 50% overtime, followed by a maximum of 50 hours of 100% overtime. In practice, the limit of 100% overtime is always set so high that all work that exceeds 50% overtime is replaced by 100% increased work.
2. Calculate overtime limits by setting maximum amounts of overtime for the period
Below is an example of settings with, for example, a three week levelling period
- Amount of Regular time is 120 hours, after which additional work is earned
- Additional work is earned up to 126 hours of the levelling period, after which 50% overtime is earned
- 50% is earned up to 150 hours of the levelling period, after which 100% overtime is earned
- After 500 hours of the levelling period, the hours will not be compensated
For example, if a person works 158 hours during a levelling period, overtime is calculated as follows:
- 6 hours Additional work
- 24 hours 50% overtime
- 8 hours 100% overtime
Note! If the values of the levelling period calculation settings change during the levelling period, the setting values valid at the end of the levelling period shall be used.
Reductions to levelling period limits from public holidays that shorten work week
It is possible to configure public holidays that shorten the workweek, to shorten the following levelling period limits:
- Maximum regular time
- Maximum additional work
- Maximum 50% overtime
Example 1
The two-week levelling period has the following total limits:
- Additional work earned after: 75 hours
- 50% overtime earned after: 80 hours
- 100% overtime earned after: 100 hours
- Uncompensated after: 300 hours
And the following reductions from public holidays:
- Maximum regular time: 7,5 hours
- Maximum additional work: 0,5 hour
- Maximum 50% overtime: 2 hours
The levelling period has two public holidays that shorten the workweek. For example, Good Friday and Easter Monday during Easter. The public holidays shorten levelling period limits in the following way:
- Additional work earned after: 60 hours, reduction from public holidays 2 x 7,5 hours
- 50% overtime earned after: 79 hours, reduction from public holidays 2 x 0,5 hours
- 100% overtime earned after: 96 hours, reduction from public holidays 2 x 2 hours
Example 2
The two-week levelling period has the following daily limits:
- Average length of work day: 7,5 tuntia
- Exceeding the length of a workday is compensated as a maximum of additional work: 0,5 hour
- Exceeding the length of a workday is compensated as a maximum of 50% overtime: 2 hours
- Exceeding the length of a workday is compensated as a maximum of 100% overtime: 10 hours
And the following reductions from public holidays:
- Maximum regular time: 7,5 hours
- Maximum additional work: 0,5 hour
- Maximum 50% overtime: 2 hours
The two week levelling period would have the following limits for the whole period:
- Maximum regular time: 75 hours
- Maximum additional work: 5 hours
- Maximum 50% overtime: 20 hours
- Maximum 100% overtime: 100 hours
The levelling period has two public holidays that shorten the work week, for example Good Friday and Easter Monday during Easter. The public holidays shorten levelling period limits in the following way:
- Maximum regular time: 60 hours, reduction from public holidays 2 x 7,5 hours
- Maximum additional work: 4 hours, reduction from public holidays 2 x 0,5 hour
- Maximum 50% overtime: 16 hours, reduction from public holidays 2 x 2 hours
Example 3
If you want the example 1 to end up with the same result as example 2, reductions from public holidays should be configured in the following way:
- Maximum regular time: 7,5 hours
- Maximum additional work: 8 hours
- Maximum 50% overtime: 10 hours
Then the public holidays would shorten the limits in the following way:
- Additional work earned after: 60 hours, reduction from public holidays 2 x 7,5 hours
- 50% overtime earned after: 64 hours, reduction from public holidays 2 x 8 hours
- 100% overtime earned after: 80 hours, reduction from public holidays 2 x 10 hours
Changing the configuration of a levelling period which is partially or fully in the past
For performance reasons, levelling period overtime calculations are cached. Therefore, changes to person setting groups, or levelling period settings that relate to past days of a levelling period, do not trigger a recalculation of the cached overtimes.
However, recalculation can be manually triggered by adding a 'Note' event to the person(s), on the day from which you want the recalculation to take place. For levelling periods, this means adding a Note to the start date of the levelling period from which the recalculation is to be made. Notes added for this purpose are not needed after the recalculation and can be deleted.
You can efficiently trigger recalculation of multiple people, by copying a Note event to each.
- Create a Note event for one of the target people
- Copy the created Note to all other people
- Delete the copied Notes
You can read more about copying a Note, here. You can read more about deleting copied Notes, here.
Change in the levelling period during the levelling period
For example, if an employee's employment contract changes during the levelling period and the levelling period settings under the new contract are desired to take effect during the levelling period, this is accomplished in one of the following ways:
- Moving a person to a new setting group from the beginning of the levelling period. If you do not want to use the other settings in the new setting group from the beginning of the levelling period and only the levelling period compensation settings are needed for the new levelling period, you can move the person to the new setting group during the levelling period.
- Adding a new setting group to act as a transition group from the beginning of the levelling period until the person's new contract enters into force and the person moves to the setting group under this agreement.
- Setting the levelling period settings from the person's settings for the current levelling period.
Note! The calculated overtime of a person’s levelling period needs to be recalculated if the change is made retrospectively. More on this above.
Levelling period calculation settings
The levelling period has other settings that can be used to control different accruals and event types in the calculation of the levelling period and to take into account the differences between different TES. The settings and the calculations are described below.
Additional work calculated as worked time
This sets whether the additional work resulting from the normal calculation of daily or weekly overtime is counted as working hours in the levelling period.
For example, the levelling period is one week and the assumed workload is 40 hours and the person does 40 hours of regular work and 2.5 hours of additional work per day (no additional work during the levelling period). If the setting is on, the hours made during the levelling period are 42.5h, otherwise the hours made during the levelling period are 40h. The regulation only applies to additional work targeted to salary.
Treat public holidays as work days in maximum overtime calculations
Whether a public holiday on a weekday (Mon-Fri) that shortens the working week is counted as a working day.
For example, the levelling period is one week long, Mon-Thu is working days, Fri is a public holiday, and the "Exceeding the length of a workday is compensated as additional work for working days in the period" setting is 30 minutes. If the setting is on, the maximum additional work for the levelling period is 2.5 hours, otherwise it is 2 hours.
Treat absence days as work days in maximum overtime calculations
Whether a absence day on a weekday (Mon-Fri) is counted as a working day.
For example, the levelling period is one week long, Mon-Thu is working days, Fri is an absence day, and the "Exceeding the length of a workday is compensated as additional work for working days in the period" setting is 30 minutes. If the setting is on, the maximum additional work for the levelling period is 2.5 hours, otherwise it is 2 hours.
Exclude event from levelling period overtime calculations
Whether the time recorded for event types is counted as working hours in the levelling period.
For example, the levelling period is one week and the assumed workload is 40 hours and the person does 40 hours of regular work and 8 hours of travel time. If the travel time is set to prevent overtime from being added to the levelling period, the hours made during the levelling period are 40 hours, otherwise the hours made during the levelling period are 48 hours.
Absences that use average length of work day instead of activity duration
Whether the time recorded for the event types is calculated as working hours in the levelling period, or whether the value of the "Average working day" setting is used instead of the recorded time for each day on which these event types are marked.
For example, the average working day for the levelling period is 8 hours and sick leave is set to use the average working day. The person has a 9-hour shift:
- if he is on sick leave in its entirety, the hours of the day in the calculation of the levelling period are 8h
-
if he works 4 hours of work per shift, and then goes on sick leave, the hours of the day in the calculation of the levelling period are 8 hours (according to the average length of the working day)
- if he shifts 8.5 hours of work and then goes on sick leave, the hours of the day in the calculation of the levelling period are 8.5 hours (according to the working time taken when the time exceeds the average length of the working day)
Accrual hour to hour overtime calculated as worked time
Whether the hour to hour overtime is calculated to the working hours of the period.
For example, if you want to count the hour to hour to bank worked overtime as working hours in the levelling period, you would be able to do so with the following settings.
Length of work day
What is the calculated length of the working day on Mon-Fri (The assumed working days in the calculation of the levelling period are Mon-Fri). If the hours worked during the levelling period are divided between working days and the number per day exceeds the average length of the working day, additional and overtime hours are formed.
For example, the levelling period is one week long and the setting is 8 hours, in which case the working hours of the levelling period would be 40 hours (5 x 8 hours) before the formation of additional and overtime hours.
The length of the work day comes from shifts
Is the maximum workload of the levelling period calculated on the basis of the number of shifts on it.
For example, the levelling period is a week long and each (Mon-Sun) day has an 8h shift. If the setting is on, the maximum workload for the levelling period would be 56h (7 x 8h)
Exceeding the length of the working day will be reimbursed at the maximum - Additional work
Exceeding the length of the working day will be reimbursed at the maximum - Additional work
Maximum amount of additional work per work day of the levelling period. The amount is set in the format HH:MM, for example 12 minutes is set to 00:12 and 1 hour 30 minutes is set to 01:30.
For example, if the leveling period is one week long and the setting is 00:12, then the maximum amount of additional work in the leveling period is 1h (5 working days).
Exceeding the length of the working day is reimbursed up to a maximum of - 50% as overtime
Maximum amount of 50% overtime per work day of the levelling period. The amount is set in the format HH:MM, for example 24 minutes is set to 00:24 and 1 hour 30 minutes is set to 01:30.
For example, if the leveling period is one week long and the setting is 00:24, then the maximum amount of 50% overtime in the leveling period is 2h (5 working days).
Exceeding the length of the working day is reimbursed up to a maximum of - 100% as overtime
Maximum amount of 100% overtime per work day of the levelling period. The amount is set in the format HH:MM, for example 5 hours is set to 05:00 and 1 hour 30 minutes is set to 01:30.
For example, if the leveling period is one week long and the setting is 05:00, then the maximum amount of 100% overtime in the leveling period is 25h (5 working days).
Levelling period compensation - Additional work earned after total hours
The maximum amount of hours in the levelling period after which additional work is earned. The amount is set in the format HH:MM, i.e. for example 10 hours 30 minutes is set at 10:30 and 120 hours are set at 120:00.
Levelling period compensation - 50% overtime earned after total hours
The maximum amount of hours in the levelling period after which 50% overtime is earned. Note that additional work is earned before this limit. The amount is set in the format HH:MM, i.e. 10 hours 30 minutes is set at 10:30 and 126 hours are set at 126:00.
For example, if the maximum amount of hours in the levelling period is 120h and this setting is 126h, maximum of 6 hours of additional work can be earned for the entire levelling period, and after 6 hours of additional work, 50% of overtime will be earned.
Levelling period compensation - 100% overtime earned after total hours
The maximum amount of hours in the levelling period after which 100% overtime is earned. Note that 50% overtime is earned before this limit. The amount is set in the format HH:MM, i.e. 10 hours 30 minutes is set at 10:30 and 150 hours are set at 150:00.
For example, if the maximum amount of hours in the levelling period is 120h and this setting is 150h, maximum of 6 hours of additional work can be earned for the entire levelling period, and after 6 hours of additional work, 24 hours of 50% of overtime will be earned, followed by 100% overtime.
Levelling period compensation - Hours are not compensated after total hours
The maximum amount of hours in the levelling period after which the hours are no longer replaced. The amount is set in the format HH: MM, i.e., 10 hours 30 minutes is set at 10:30 and 500 hours is set at 500:00.
For example, if the maximum working hours for the levelling period are 120h, the maximum amount of overtime is 6h, the maximum amount of 50% overtime is 24h and this setting is 500h, you can earn a maximum of 350h of 100% overtime for the entire levelling period, after which overtime is not compensated.
This amount of hours is usually set so high that the limit is not met.
Reductions to levelling period limits on public holidays
It is possible to shorten the levelling period limits from public holidays that shorten work week. The following limits can be shortened:
- Maximum regular time
- Maximum additional work
- Maximum 50% overtime
You can find example about how the settings work at "Reductions to levelling period limits from public holidays that shorten work week"