Managing the Complexities of Labor Rate Rules

  Simplifying Rates Management What happens when a Journeyman works a 16-hour shift? Well, first, he goes home tired and hungry and very keen on a cold beverage or two. But on top of that, he’s also got a smile in the back of his mind about the overtime and double-overtime he just earned. So, how much overtime was that exactly? Calculating how much of that 16 hours was regular, OT and Double-OT, can depend on a number of legal and contractual factors. The challenge many organizations face is: who is responsible for knowing the rules of how to allocate their hours to the correct buckets? It’s often the case that that allocation is done by the site foreman right at the jobsite when he’s recording his crew’s hours at the end of the day. But why not just let payroll or AP figure that out? Waiting for payroll or accounts payable to figure it out later is typically not an option since the Site Foreman needs to get their daily LEM sheet signed by the client on that day. Composite Rates Management This leads me to the discussion around what we call “Composite Rates”. In 4castplus, the Composite Rate Type feature enables administrators to preconfigure the quantity split for how labor timesheet entries should be allocated according to company and labor standards.  By pre-configuring these rules, the site personnel that are recording hours are alleviated from having to look-up or just know these rules for each member of the crew. All the site foreman has to enter is the total quantity of hours, and the system auto-distributes that time into the appropriate rate categories – such as Hourly, Overtime and