Our company salary calculation using monthly base. E.g Jan,Feb, Mar,and Apr. 31,28,31,30
Salary Formula: Monthly salary/31 x working days, if full attendance which mean no changes.
OT formula: Monthly salary/26 /8 x 1.5 x Ot hours.
Is the calculation correct?
So the formula we use is correct?
Also, we would like to clarify the OT rate, if the employee salary more than RM2000, as a employer still need to pay, or depend on company policy.
Regarding the OT rate, if the employee is under monthly base. If he work on rest day( saturday and sunday), we only pay for his ordinary rate of pay as written in EA 60(3B) and over time only pay 2x. Is there eligible for that?
Beside, work on public holiday we only pay for two times from his ordinary rate of pay and OT rate 3x. Is there okay for this?
1. If you don't want to pay OT, the workers can of course refuse to work overtime, isn't it?
2. Formula for working on rest days : (salary/26) x 1, working on public holidays (salary/26) x 2.
If the company is willing to pay more, well and good.
Hi KL Siew,
Currently, our company using the formula is based on monthly, work days (Mon-Fri)
If working on rest day, the formula : (Salary/31) x 1, working on public holiday (salary/31) x 2 .
Please advise me for the formula we used. Thank you.
You can refer Section 60i of the EA.
Hi KL Siew,
Under section 60i(2) of the EA. Employer have the right to using other method of formula, but need to ensure the rates not less than ordinary rate.
In this case, can i standardize the formula as (Monthly salary/31) x total days?
Please advise,thank you.