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Over Time Calculation Scenario

Dear Gurus,

I am in a bit of a fix; I have a scenario at hand, Client wants to get employees paid for the over time performed on the following basis:

For Supervisors and senior associates:


Overtime Performed on Normal day / Saturday


OT Factor : (Months/(Working days in a year * working hours in a day)) *2

OT Factor: (12/(261*8))*2 = 0.01107

OT Calculation: Gross * OT Factor * OT Hours

i.e., 10,000 * 0.01107 * 8 = 885.60 Rupees


Overtime Performed on Sunday / Govt. Holiday / Gazetted Holiday


OT Factor : (Months/(Working days in a year * working hours in a day)) *2

OT Factor: (12/(261*8))*2 = 0.01107

OT Calculation: Gross * OT Factor * OT Hours * 1.5

i.e., 10,000 * 0.01107 * (8 * 1.5) = 1328.40 Rupees

Now payment for half an hour will be deducted from that day and instead of 12 hours (i.e., 8*1.5) payment of 11.5 hours will be made in this case which amounts to 1273.05 PKR

For Executive cadres:

OT Payment = 125 * Number of hours

For Assistant Managers:

OT Payment = 175 * Number of hours

For Deputy Managers:


Payment for 8 hours = 1400 PKR

Payment for 4 hours = 700 PKR

Now he can either avail a compensatory leave or the OT payment.

I would appreciate if someone can look into the scenario and tell me how to deal with it

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Former Member
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