Work Day Boundaries
Overview
In the agriculture industry, many employees work overnight which means they go beyond the usual "Traditional" workday. In California, a "workday" is a 24-hour period starting at the same time each calendar day, which can begin at any time of the day as long as it stays consistent. The purpose of a workday is to determine when overtime pay should start, which is after eight
hours from the beginning of the "workday. Additionally a “workday” helps determine when meals/breaks should be taken. Pago can help by allowing users to set workday boundaries for each employee. This document aims to clarify how workday boundaries can affect an employee's overtime pay. Specifically, we will discuss the difference between an employee with no workday boundary and an employee whose workday boundary is 6 pm.
Also, It's important to understand that each employee has their own unique "workweek" that can vary from one employee to another. This workweek consists of seven consecutive 24-hour periods. Additionally, every company has a designated "pay period," which typically spans seven days from Sunday to Saturday or Monday to Sunday, from midnight to midnight.
If an employee does not have workday boundaries, their workweek and pay period will be aligned. Otherwise, the “workweek” starts at the time of the Work Day Boundary that falls after the start of the Pay Period.
(California Labor Code, section 500)
https://www.dir.ca.gov/dlse/workdayandworkweek.pdf
https://www.dir.ca.gov/dlse/Glossary.asp?Button1=W
No Workday Day Boundaries
Example 1: Mon-Wed
Pay Period: Mon am - Sun11:59 pm
Workday Boundaries: None. By default, the system sets a workday boundary at 12 am Colored Boxes: Work Date “calendar Date”
Gray Boxes: Work Assignment Date “Shift”
Red line: Represents when overtime starts.
Light Gray shadow: represents any hours that are overtime.
Summary: After 8 hours of work in a single "work day", overtime will be triggered for employees. Since there is no set boundary for the work day, it is considered to be from 12 am to 11:59 pm. Therefore, any hours worked after 12 am will be accumulated towards the work day. For example, if an employee works from Monday 6 pm to Tuesday 6 am, the last 6 hours of
Monday's shift are added to the first 2 hours of Tuesday's shift. So, overtime is calculated for any hours worked after 8 pm on Tuesday until 11:59 pm.
The work hours are grouped into two categories: the work assignment date and the calendar date.
Work Assignment Date "Shift":
- Monday: 0 hours of overtime
- Tuesday: 4 hours of overtime
- Wednesday: 6 hours of overtime
Work Date "Calendar Date":
- Monday: 0 hours of overtime
- Tuesday: 4 hours of overtime
- Wednesday: 6 hours of overtime
Example 2: Sat-Mon.
Grouped by: Work Assignment Date “Shift”
Sat: 0 hrs Overtime
Sun: 4 hrs Overtime
Mon: Next pay period ←- If an employee doesn't show up to work the following pay period, they are still owed a check for the hours worked in the previous pay period.
Grouped by: Work Date “calendar Date”
Sat: 0 hrs Overtime
Sun: 4 hrs Overtime
Mon: Next pay period ←- If an employee doesn't show up to work the following pay period, they are still owed a check for the hours worked in the previous pay period.
Examples Of Work Day Boundaries
Example 3: Mon-Wed.
Workday boundary: 6pm
Colored Boxes: Work Date “calendar Date”
Gray Boxes: Work Assignment Date “Shift”
Red line: Represents when overtime starts.
Purple line: Represents workday boundary.
Light Gray shadow: represents any hours that are overtime.
Employees will trigger overtime after working for 8 hours in a single workday. The workday boundary is set at 6pm, which means that workday hours are from 6pm to 5:59pm. Any hours worked after 6pm will be added to the workday. For instance, if an employee works from Monday 6pm to Tuesday 6am, overtime will be triggered after the 8th hour worked during the pay period. In this case, overtime will be triggered at 2am.
Grouped by: Work Assignment Date “Shift”
Mon: 4hrs Overtime
Tues: 4hrs Overtime
Wed: 6hrs Overtime
Grouped by: Work Date “calendar Date”
Mon: 0 hrs Overtime
Tues: 4hrs Overtime
Wed: 10 hrs Overtime
Example 4: Sat-Sun.
Sat - Mon
Workday boundary: 6pm
Grouped by: Work Assignment Date “Shift”
Sat: 0 hrs Overtime
Sun: 4hrs Overtime
Mon: 4hrs Overtime
Grouped by: Work Date “calendar Date”
Sat: 0 hrs Overtime
Sun: 4hrs Overtime
Mon: Next pay period
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