Annualised Hours

Provide greater employee flexibility, reduce overtime and increase productivity & efficiency.

Overview

Recognised as an effective way to remove overtime and increase flexible working time, annualised hours is a system that has been adopted by many industries as an alternative to the more traditional, rigid systems where employees are paid “hourly” or “weekly”. Very simply, annualised hours mean that an employee’s hours are looked at and totalled over a year, rather than a week.

Typically annualised hours are based on a 35-40 hour week. For example, a person working a 39-hour week, with annual leave of 5 weeks and 1.8 weeks public holidays equals 45.38 working weeks.

Annual Hours = 45.38 weeks x 39 hours per week = 1,770 hours

Advantages of annualised hours include:

Increased flexibility to cope with seasonal demands.
Greater cost effectiveness due to the reduction/elimination of overtime.
Rapid deployments in times of demand as decisions can be made at local level.
Improved productivity, greater customer satisfaction and improved profits.
Reduction in the number of temporary staff (an expensive way of supplementing manpower) and the associated training and costs.
Higher lever of regular and stable pay for employees.
Greater security for staff as the threat of lay-offs, due to business fluctuations, is reduced.
Opportunity for employees to balance work with commitments outside of work.
Most importantly – Steady income for the employee and fixed cost for the business.

Learn More About Time & Attendance

Softworks Time & Attendance is one of the most powerful employee time tracking tools available for recording and analysing hours worked. Used to manage employee attendance and produce real-time reports for analysis by management as well as to collate personnel information.

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