Timekeeping + Policies

I. Purpose

To provide clear policies, guidelines, and procedures on timekeeping matters including Work Schedules, Time-Recording System, Overtime, Rest Day and Holiday Work, Undertime, Tardiness, Absences, and Payroll Cut-Off Dates.

II. Scope

These policies, guidelines and procedures are applicable to all employees of ______________, except where explicitly stated otherwise.

III. Policies

1. Work Schedule. In general, employees are required to render a minimum of eight (8) hours work per day, five (5) days a week, except during holidays. Every employee is entitled to two (2) rest days in a week.

1.a Regular Work Schedule

In general, employees shall work from 8:30 a.m. to 5:30 p.m., Mondays through Fridays except during holidays.

1.b Shifts

Where an employee�s work requires a different work time and/or workday than the regular work schedule above, he shall be assigned a different but nonetheless fixed shift/schedule by his department/division head. Such shift shall cover a fixed schedule of eight (8) regular hours per day and two (2) rest days per week.

The shift / schedule shall be communicated in writing by the employee�s department / division head to HR before the shift�s effectivity date. The form, Notice of Change in Schedule (NCS), shall be used for this purpose (see Annex A). Effectivity date shall coincide with the attendance/payroll cut-off period (see item 8).

1.c Break Period

Employees shall be entitled to a compensable break period of fifteen (15) minutes in the morning and fifteen (15) minutes in the afternoon. Employees are likewise given a one-hour non-compensable lunch break.

In order not to disrupt operations, breaks of employees within the same department may be taken in shifts, subject to the direction of the department head.

Unauthorized extension of lunch break shall be deducted from pay, computed from the first minute of delay in returning to the office after lunch break. Exception may be given to Managers and Executives, provided they complete an average of at least 8 hours work per day.

2. Regular Workdays. All employees are paid based on 262 days per year or 21.83 days per month. The 262 days payment is inclusive of all regular workdays, as well as legal/regular and special holidays. Conversely, the 262 days divisor excludes all Saturdays and Sundays (except for the last Sunday of August which is a legal holiday, and therefore paid even if unworked).

3. Time-Recording System. Employees shall record their exact time-in and time-out in accordance with respective official work schedules. Every employee shall be issued a proximity card which shall serve as the employee�s company identification card, time card (basis for payroll and attendance record); and access card to the offices.

Each employee shall swipe his own proximity card. In no case must an employee ask another person to swipe his card. Non-compliance shall be subject to disciplinary action under item II. E1 and E2 of the Code of Discipline.

Data from Proximity cards shall reflect all the �ins� and �outs� of employees in the central monitor (located in the IT/server room of the Main and GSC Offices). However, only the FIRST �In� and LAST �Out� entries shall serve as basis for payroll computation, except in instances of unauthorized prolonged lunch break which shall be subject to payroll deduction, if applicable.

In case an employee needs to attend to Official Business (OB) outside the office at anytime before or during the workday, the employee shall still be required to swipe his proximity card at the time he first arrived at the office (from OB) and / or the time he last left the office (for OB).

Should there be an absence of either �In� or �Out� entry, or both, in the card reader data, the date when there was such incomplete, or absence of, entry shall be considered as Invalid or Absent, respectively, and thus shall not be paid, unless such date is covered by an approved leave form (forwarded to HR on or before cut-off date) or duly regularized as �official business� in the signed time sheet submitted to HR before the deadline.

3.1 Rank & File, Supervisors, Officers

A time sheet shall be generated from the Electronic Timekeeping System (ETS) on or before the cut-off time and shall be signed by the employee and his Immediate Superior (IS) / Department Head (DH). This shall serve as basis for payroll computation of the rank and file staff, supervisors and officers.

In cases when an employee had attended to official business outside Ortigas Building and Greenhills Shopping Center offices and thus had no or incomplete card entry/ies on such date(s) / time period, the department head shall note this fact on the corresponding date on the ETS-generated time sheet. A brief description of the official business (e.g., Communication Skills Training; Meeting with SGV, etc.), inclusive time, and the department head�s signature shall be required to regularize each instance of absence of time entry in the time sheet due to official business.

In case the employee fails to submit the signed time sheet to HR on the deadline (see table 8), the employee�s payroll shall still be processed. In such cases, the basis for computation shall be the data from the timekeeping system�s card reader and whatever available timekeeping documents have been submitted to HR by cut-off date (e.g., OT, UT, Leave forms, etc.). Should there be changes or support documents submitted after the cut-off date, the appropriate payroll adjustment shall be made on the next applicable pay date.

3.2 Managers and Executives shall accomplish the Certificate of Attendance (see Annex B) every 15th and end of the month and this shall serve as basis for payroll computation.

3.3 Loss of ID / Proximity Card. In case of loss of company ID / Proximity Card, the employee concerned shall report the same immediately to HR who shall then assign a time card for the employee�s use pending replacement of the proximity card. The cost of replacement ID shall be borne by the employee.

4. Tardiness. This shall mean reporting for work later than the official starting time.

Tardiness of 16 or more minutes by a rank and file employee exceeding four (4) times in a month*, or an accumulation of sixty one (61) minutes of tardiness in a month*, whichever comes first, shall be subject to disciplinary action in accordance with item II.C of the Code of Discipline.

* A month shall be defined as 2 consecutive payroll periods covering the 26th of the preceding month to the 25th of the current month.

4.1 Grace Period. For salary deduction purposes, the allowable grace period for rank and file employee shall be:

a. 15 minutes from the start of official work hour, for a maximum number of two (2) instances per payroll period, or

b. 30 minutes of accumulated tardiness in one payroll period

whichever of items a and b comes first.

4.2 Salary Deduction for Tardiness. Should a rank and file employee incur total tardy minutes exceeding the 30 minutes grace period per payroll period, his salary shall be deducted the amount corresponding to all tardy minutes incurred, including the first 30 minutes.

4.3 In cases of typhoons (or other natural calamities) and other unexpected circumstances (transport strikes, etc.), HR may declare Tardiness on such day as excused, in which case, such shall not be considered as an offense nor deducted from the employee�s salary up to a maximum of one hour. Minutes late in excess of 1 hour shall be deducted from salary.

5. Undertime. Undertime shall mean the authorized reporting for work later than starting time or leaving of work at any time during work hours. Undertime shall be allowed only for specific and valid reasons (e.g., important errands, etc.) and shall not be used to cover up for Tardiness already incurred, unless the same is due to emergencies or truly unforeseeable circumstances (e.g., daily traffic jam is not an acceptable reason).

5.1 For Undertime to be valid, it shall be properly documented and approved by the Department Head and noted by the HR Head. Undertime Form (see Annex C) shall be used for this purpose.

Undertime shall be filed and approved prior to actual undertime date. Subsequent filing shall be allowed for emergency and unexpected cases only.

5.2 Undertime shall be deducted from employee�s pay. Minimum of one (1) hour�s pay deduction shall be effected for undertime of one hour duration or less. In excess of one hour, any fraction of an hour shall be subject to equivalent deduction in accordance with the table below. Deductions for Undertime may not apply to Managers and Executives.

Undertime Minutes Beyond First Hour Equivalent Payroll Deduction

1 � 15 minutes 0.25 hour

16 � 29 minutes 0.50 hour

30 � 45 minutes 0.75 hour

46 � 60 minutes 1.00 hour

5.3 In cases when employees are sent home early due to typhoon or other natural calamities or for safety and security reasons, the time left unworked by employees due to early �closing time� shall not be deducted from the employees� salaries.

5.4 Any instance of �unauthorized undertime�, i.e., late reporting for work or leaving of work during official hours not covered by an approved Undertime Authorization Slip shall be subject to disciplinary action for �Tardiness� or �Leaving the job or work area for non-official matters during office hours without permission,� whichever is applicable. (Please see Code of Discipline items II.C & II.H). Likewise, appropriate salary deductions shall be effected for man-hours lost.

6. Overtime, Rest Day, Holiday, and Night Time Work.

6.1 All Rank & File employees shall be entitled to Payment premiums for Overtime work, defined as authorized work rendered in excess of 8 hours on a regular workday. Premiums shall also apply to authorized work during rest days, holidays, and night time (from 10:00 p.m. to 6:00 a.m.).

Overtime / Rest Day / Holiday / Night Time Work shall have prior approval of department/division head. For this purpose, use Overtime / Rest Day / Holiday Authorization Form (please see Annex D).

Overtime / Rest Day / Holiday Work Authorization shall be submitted to HR on or before the deadline for timekeeping documents submission (see item 8). Any claim for OT / RD/ HOL work pay submitted to HR later than 30 calendar days from date of such work shall be forfeited.

Minimum compensable overtime work shall be one (1) hour. In excess of one hour, a fraction thereof shall be computed / paid as follows:

OT/RD/HOL Work Fraction in Excess of 1 Hour Equivalent Additional Payment

0 � 15 minutes None

16 � 30 minutes .25 hour

31 � 45 minutes .50 hour

46 � 59 minutes .75 hour

6.2 Compensation Table for Overtime, Rest Day, Holiday, and Night Time Work.

COMPENSATION INCLUDING PREMIUM (%)

DESCRIPTION 1st 8 hrs In excess of 8 hrs.

Regular Working Day 125

Rest Day 130 169

Special Holiday 130 169

Special Holiday & Rest Day 150 195

Regular Holiday 200 260

Regular holiday & Rest Day 260 338

Night Differential Premium

(10:00 pm to 6:00 am) 10%

(in addition to applicable rate)

6.3 Supervisors, Officers, and Managers shall not be entitled to the Premiums stated in Compensation Table 6.2 above. However, they shall be given a Meal Allowance of Two Hundred (P200.00) for every three hours of authorized work in excess of 8 hours during regular days or Four Hundred (P400.00) for every 4 hours of authorized work during rest days and holidays.

Claims for Meal Allowance, with the corresponding Petty Cash Vouchers and support documents, shall be submitted to Treasury not later than the 15th and end of the month. Any claim for Meal Allowance submitted later than 30 calendar days from date of OT / RD / HOL work shall be forfeited. See Policy on Meal Allowance for complete details.

6.4 Non-Compensable Break during Rest Day / Holiday Work

To afford employees time to rest and/or eat meals during rest day and holiday work, there shall be a non-compensable break of 30 minutes after every four (4) hours of work applicable to the first 8 hours of work only on rest days and / or holidays. Succeeding hours shall not be subject to non-compensable break. This shall apply to rank and file employees only.

Illustration 1: Rank & file employee working on rest day / holiday

Time Work was Rendered: 8:30 am � 5:30 pm

Total Clock Hours: 9 hours

Non-compensable break: 1 hour

Total Compensable Hours: 8 hours

6.5 The required 30 minutes rest after every 4 hours of holiday / rest day work is not required if the employee has rendered four (4) hours OT only. This is applicable only for work over 4 hours. The payroll system has been programmed to automatically deduct 30 minutes from holiday / rest day work after every 4 hours rendered. Please note, though, that in actuality, the employee may take the 30 minutes rest anytime within the 4.5 hours as may be required by his workload or lump them together into one hour break between two four-hour work period.

6.6 Tardiness/Undertime and Overtime Work

Where an employee rendering Overtime had incurred Tardiness or Undertime on the same day, the regular pay for man-hours lost due to undertime or tardiness beyond the grace period shall be deducted from pay, while overtime pay shall be given for work rendered after the official end of his regular work schedule. In no case shall the overtime hours be offset with tardiness/undertime hours.

Illustration 2:

Regular Work Schedule: 8:30 a.m. to 5:30 p.m.

Actual Time-In: 9:10 a.m.

No. of Minutes Tardy: 40 minutes

Actual Overtime Period: 5:30 to 8:30 p.m.

Hours of Overtime: 3.0 hours (see table 6.1)

Payroll Computation:

Deduct: 40 minutes at regular rate for tardiness incurred

Add: 3 hours at overtime rate, for OT rendered

7. Absences. Any absence from work not covered by an approved Leave Application form submitted to HR on or before the cut-off date for documents submission (see item 8 below) shall be considered absence without pay for payroll purposes. Should the approved Leave Application be submitted after the cut-off period, a pay adjustment for the covered day(s) shall be made on the nearest applicable payroll date.

Absences without approved Leave Applications shall likewise be subject to disciplinary action (see Code of Discipline, item II.D)

8. Payroll Cut-Off Dates and Deadlines

Attendance Period Covered (monthly) Deadline for Timekeeping Documents Submission * Payroll Date

Rank & File / Supervisors / Officers 26 to 10

11 to 25

9th of the month

24th of the month 15th of the month

end of the month

Managers / Executives 1 to 15

16 to end of month 16th of month

1st of succeeding month 15th of month

end of month

* Should the set deadline fall on a non-working day, the workday immediately preceding such day shall be the deadline

9. This Policy shall take effect on the date stated above and shall supersede any earlier policy or practice contrary to the provision(s) stated herein.

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