Pay and Overtime
How much is an employee supposed to be paid?
It is a fundamental labour standard that an employer must pay the prescribed remuneration. No employer shall pay an employee wages which are lower than that specified for such employee by law or by agreement section 6 (i) (a) of Labour Act 16:01. The employer pays for the availability of the workers’ service and not for actual work done.
The law is silent on increments and how often these should be. Increments are thus at the discretion of employers.
How are wages calculated?
The law does not specify the principles to be used in calculating wages. The law does prohibit discrimination in the fixing and payment of wages.
Is overtime compulsory?
Overtime is not compulsory unless provided for in the CBA or regulations or it is an emergency situation. An employee can only be required to work a maximum of 10 hours per day.
When is overtime paid, and how much?
For breakdown, continuous work, emergency and for every hour or part thereof worked by an employee in excess of his/her ordinary hours of work, the employer shall pay the employee not less than one and a half times his/her ordinary rate.
For every hour or part thereof worked by an employee between midnight on Saturday and midnight on Sunday, or midnight of the day before their day off, the employer shall pay the employee not less than twice their ordinary rate.
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