Determine Overtime on the Basis of FLSA Regulations

In the following steps, you set up overtime regulations to meet the requirements of the US-specific Fair Labor Standard Act (FLSA). The following three scenarios are feasible: Overtime after 8 working hours per day Overtime after 40 working hours per working week Overtime after 6 successive workdays per week

The above scenarios are not mutually exclusive; a combination of the three is quite feasible. For example, if you have a combination of daily and weekly overtime regulations in your enterprise, you can incorporate the first two scenarios into your time evaluation schema (as described in the corresponding Customizing steps). This ensures that overtime granted in line with the daily overtime regulation is not included in the weekly overtime analysis. If required, you can make certain employees exempt from the FLSA overtime regulations or subject to other regulations. There are two ways of doing this: You can specify that the employee's job within your enterprise is exempt from the FLSA regulations. Use the EXEMPT indicator (cf. Define jobs step). You can use the Additional time indicator field in the Planned Working Time infotype (0007) to indicate whether or not an employee is exempt from the overtime regulations.

Example
In the first week, an employee works regularly Monday through Thursday from 8 am to 5 pm and on Friday from 8 am to 4 pm. In the second week, the employee's working hours are the same Monday through Thursday but Friday is a day off. The employee is not generally required to work on Saturday or Sunday. The productive hours are as follows: Su Mo Tu We Th Fr Sa Week 1 - 9 9 9 9 8 Week 2 - 9 9 9 9 - In the first week, the employee totals 44 working hours, and 36 working hours in the second week. If overtime was granted after 40 working hours per week, the employee would accumulate 4 hours of overtime for the first week although he or she had only worked 80 hours over the two weeks. To represent this regular working time pattern, you define a working week that is adapted to the situation described above. It starts at 12 noon on Friday and is 7 days long. The productive hours are now distributed as follows:

Fr Sa Su Mo Tu We Th Fr Working week 1 - - - 9 9 9 9 4 Working week 2 4 - - 9 9 9 9 In this way, the employee totals exactly 40 productive hours per working week. This working time model is customary in the USA and is known as a 9x80 flex schedule.

Activities
1. If you do not want employees who are exempt on account of their job to be subject to the overtime regulations, choose Modify schema, add function IF before the overtime regulations with parameter 1 the same as personnel calculation rule TOEX, and function ENDIF after the overtime regulations. 2. If you have used the Additional time indicator field in the Planned Working Time infotype (0007) to indicate employees who are not subject to the overtime regulations, choose Modify personnel calculation rule: TOEX, copy personnel calculation rule TOEX to ZOEX , and modify the copy accordingly. You can query the Additional time indicator field in a personnel calculation rule using operation OUTWPATIND. Then add function IF before the overtime regulations with parameter 1 the same as personnel calculation rule TOEX, and function ENDIF after the overtime regulations.

Further Notes
Please note that the above scenarios meet the requirements of the FLSA. If you use other overtime regulations in your enterprise, which are more favorable to your employees than the FLSA standard, you are still fulfilling the FLSA standard.