Overtime Calculation in Workday

Explanation of Multiple Employment Overtime in Workday

 

When Workday combines hours for overtime, it starts at the end of the work week after determining the total number of overtime hours owed, and then works backwards through the week, analyzing the time submitted on each day to determine which among those many hours is overtime. It prioritizes additional jobs, and if there is any overtime left after that, it puts it on the primary job.

Below is an example of the process. Please assume that in this example, the hours from all three positions may be combined when considering overtime.

 

 

Of these three jobs, Job 1 is considered the Primary Job in Workday. So at the end of the work week, Workday will calculate overtime hours as follows:

  • At the end, a total of 47 hours were worked. In accordance with the Fair Labor Standards Act, Workday sees that there are 7 federal overtime hours to assign after totaling the combined hours. Workday now looks at the end of the week to find relevant overtime hours.
  • Starts on Saturday – 0 hours. No overtime assigned yet.
  • Moves to Friday – 8 hours, all on Primary. Workday will prioritize additional jobs, so no overtime assigned yet.
  • Moves to Thursday – 10 hours. 1 hour worked on Job 2. That is the first hour assigned overtime (superscript 1). One hour out of Seven has now been assigned.
  • Moves to Wednesday – 9 hours, all on primary. No overtime assigned.
  • Moves to Tuesday – 9 hours. 1 hour worked on Job 2. That is the second hour assigned overtime (superscript 2). Two hours out of Seven have now assigned.
  • Moves to Monday – 8 hours, all on Primary. No overtime assigned.
  • Moves to Sunday – 3 hours, all on Job 3. These are the next hours assigned to overtime (superscript 3). Five hours out of Seven have now been assigned.
  • Workday sees there are still 2 remaining overtime hours to assign, so it shifts back to the end of the week and moves backward until Friday, where it assigns two out of the eight hours on the Primary job to overtime (superscript 4).
  • All seven overtime hours are now assigned.

 

Please note that this overtime calculation process is only initiated if an employee has multiple jobs, two or more of those jobs are labeled as combinable for overtime purposes, and the employee works in excess of 40 hours in a week, combined among all relevant jobs. If an employee works multiple jobs that are not intended to be combined, then overtime calculates normally on any of the held jobs that are considered non-exempt under the Fair Labor Standards Act. If an employee works multiple jobs that may be combined, but works less than 40 hours across all held jobs in a week, then there is no overtime owed.

If an employee works multiple jobs that are combinable for overtime, Workday pays overtime at a blended rate calculated from all the overtime rates together.