The regulation on remuneration is one of the local regulations of the company, which establishes the systems of remuneration used in the organization, additional payments and allowances of a compensatory and incentive nature, mechanisms for calculating and paying wages. The regulations on remuneration are developed by the employer taking into account the economic capabilities of the organization, but in compliance with the guarantees established by labor legislation, and are adopted taking into account the opinion of the representative body of employees (). Let's look at the structure of the wage regulations, analyze the mistakes that employers make when drafting the regulations, and determine whether wage indexation is mandatory for commercial organizations.

The Labor Code does not highlight the provision on remuneration as a separate document, that is, it is not mandatory. In practice, if a company pays employees only official salaries, then the regulations on remuneration are included in the internal labor regulations. Approval of a separate document is advisable if employees receive any additional payments in addition to salaries, or if the company simultaneously has different remuneration systems.

How to draw up a salary clause?

The structure and content of the wage regulations are determined by the employer based on the specifics of the activity, financial capabilities and staff of the company. The main purpose of the wage provision is to comply with the guarantees established by labor laws and industry agreements. The structure of the wage provision may be as follows:

• general provisions;
• wage systems;
• the procedure for calculating wages;
• the procedure for paying vacation pay and temporary disability benefits;
• the procedure for remuneration in conditions deviating from normal (overtime, work on weekends and at night);
• the procedure for remuneration when performing additional duties (fulfilling the duties of an absent employee, combining positions, increasing the volume of work, expanding the service area);
• the procedure for paying bonuses (if the provision on bonuses is not included in a separate local regulatory act);
• the procedure for calculating other payments established by the employer based on its financial capabilities and the specifics of the organization (material assistance, issuance of gifts, northern bonuses, regional coefficients, additional payments for the nature of the work, for shift work, for work in hazardous conditions, etc.);
• procedure, place and timing of payment of wages;
• the procedure for making payments in the event of a due date on a non-working day;
• approval of the pay slip form;
• wage indexation;
• final provisions.

The employer can supplement the provisions on wages: it may also include the procedure and cases of deductions from wages, payment of downtime, preservation of average earnings, social guarantees and compensation, etc.

Errors related to the preparation of wage regulations

Let's look at typical errors and violations related to the design and content of the wage regulations.

Salary payment dates

The Labor Code defines three documents in which the dates for payment of wages must be specified: internal labor regulations, collective agreement, employment contract (). But in practice, there are often cases when these dates are not written down anywhere, that is, the legal requirement is not fulfilled in any document of the employer.

Very often, for the payment of wages, not specific dates are set, but periods, for example: an advance payment is paid from the 20th to the 25th of the current month, the final payment is from the 5th to the 10th of the next month. Also, many employers do not take into account the requirement that wages must be paid every half month (), for example, they set the dates for payment of wages on the 25th and 15th, while the period between these dates is more than 15 days.

Salaries must be paid at least twice a month; even if the employee himself asks to pay him wages once a month, the employer cannot do this, since the employee’s situation worsens in comparison with the established Labor Code. Such violations must be excluded from the bonus regulations.

The procedure for paying wages in the wage regulations

Specifying the procedure for paying wages means that it is necessary to specify how the advance is paid, how it is formed, that is, what part of the wage is paid in what amount and when.

Issues of wages and their payments for employees are among the highest priorities, and if the employer does not disclose all the conditions, the employee will come up with these conditions himself and, if his expectations do not coincide with the actions of the company, he will file a complaint with the labor inspectorate. The mistake of companies is that they do not pay due attention to paperwork, as a result of which they pay fines due to such annoying shortcomings. So, the regulations on wages must clearly define the procedure for forming the first and second parts of wages and their sizes.

The Labor Code does not explain the concept of an advance, but when determining the procedure for paying wages, employers must take into account that the amount of the advance on wages for the first half of the month is determined by an agreement between the administration of the enterprise (organization) and the trade union organization when concluding a collective agreement, but it should not be lower tariff rate for hours worked (). Thus, when determining the amount of the advance, one should take into account the time actually worked by the employee, that is, set the advance and the final payment in proportion to the time worked.

It is also necessary to take into account the timing of payment of wages. If they are established in such a way that an employee who has worked the standard working hours and fulfilled the labor standards, advance payment and wages for the current month are paid only in the next month, the employer may be held administratively liable (;,).

Do not forget to take into account the rights of new employees; they must also receive a salary every half month.

EXAMPLE

The company's payroll dates are the 25th and 10th. If an employee is hired by the company at the beginning of the month, then the first salary payment (advance) will be made to him on the 25th, that is, in violation of the deadline of half a month. We recommend making the first payment to a new employee on the 10th in proportion to the time worked; further he will receive wages on general terms.

Violation of salary payment deadlines

No circumstances allow an employer to delay payment of wages. On the day specified in the local act, the employee must receive the amount due. For example, the Supreme Court of the Altai Republic, having established that the company did not pay wages on time, rejected the argument that the employer was not at fault due to a lack of funds in the current accounts. According to the court, which explained the application procedure, the company’s activities must be carried out in accordance with the requirements of the current legislation and other regulations governing labor relations, and therefore the economic interests of the enterprise should not violate the employee’s rights to receive wages within the time limits established by law (decision of the Supreme Court of the Altai Republic dated January 29, 2015 No. 21-4/2015).

The employer must also take into account the timing of interbank transactions. Delays in wages associated with the transfer of funds are the fault of the employer. In all cases of late payment of wages, vacation pay, calculation upon dismissal, and other payments, the company is obliged to accrue compensation to the employee in the amount of not less than 1/300 of the refinancing rate of the Central Bank of the Russian Federation in effect at that time from amounts not paid on time for each day of delay starting from the next day after the established payment period up to and including the day of actual settlement ().

The form of the pay slip has not been approved

When paying wages, the employer is obliged to notify each employee in writing ():

• on the components of wages due to him for the relevant period;
• the amounts of other accrued amounts, including monetary compensation for the employer’s violation of the established deadline for payment of wages, vacation pay, dismissal payments and (or) other payments due to the employee;
• the amounts and reasons for the deductions made;
• the total amount of money to be paid.

It is the employer's responsibility to approve the payslip form and issue it to each employee, but it is rare to find a company that fulfills this responsibility. The opinion that payment of wages by transfer to the employee’s bank account exempts the employee from issuing a pay slip is erroneous. The Labor Code does not make the need to issue a pay slip dependent on the method of payment of wages. This is confirmed by judicial practice (post. Fifteenth AAS dated 08/03/2015 No. 15AP-11205/15; ).

Salary indexation

Employers must index wages in the manner established by the collective agreement, agreements, and local regulations (). Wage indexation is designed to provide workers with an increase in real wages in connection with rising consumer prices for goods and services. Indexation as a guarantee is prescribed in the Labor Code, so the employer must provide for the procedure for its calculation.

The need for a wage indexation clause in the wage regulations is indicated by Rostrud (): if the organization’s local regulations do not establish the procedure for wage indexation, then it is necessary to make appropriate changes (additions) to the local regulations in force in the organization. The Constitutional Court of the Russian Federation also determined that wage indexation should be provided to all persons working under an employment contract (). But labor legislation has not established any requirements for the size, procedure, or frequency of indexation of wages for employees of commercial organizations (). Employers determine the indexation procedure independently; it can be carried out in accordance with the consumer price index or, for example, taking into account the level of inflation specified in the law on the federal budget or in the law on the regional budget; the frequency is also determined by the employer.

The absence of a wage indexation procedure in a local regulatory act or in a collective agreement is qualified as a violation of labor legislation, entailing administrative liability ( ; ). Also in the above-mentioned definition (), the Constitutional Court of the Russian Federation indicated that the employer does not have the right to deprive employees of the guarantee provided by law and evade establishing the indexation procedure in a collective or labor agreement or in a local regulatory act.

Let us examine what liability is provided for the most common violations of the wage indexation procedure in practice.

The employer has provided for the indexation procedure in the local act, but does not carry out the indexation itself. The employer is obliged to comply with the terms of the collective agreement, local regulations and the employment contract (). If local acts contain a provision for indexation, but in fact it is not carried out, the employer can be held administratively liable in the form of a warning or the imposition of an administrative fine in the amount of 3,000 to 5,000 rubles
( ; ).

This, of course, is not a complete list of violations; we have considered only those that apply to all companies. There are also violations related to the specifics of the organization’s activities: for example, regional coefficients, percentage bonuses, bonuses and additional payments for the nature of the work, for hazardous working conditions, for shift work, etc. are not established.

Aida Ibragimova, Head of Human Resources at KSK Group

People usually don’t think about how the payment that a person receives for his work is regulated and standardized. At best, people understand that there is a salary and a bonus. But it's not that simple. Salary consists of many parts, sometimes very different from each other. Let's figure it out. Let's start with the fact that it is recommended for every enterprise to have a provision on remuneration. This is a document that describes all the nuances of the process of forming the amounts that employees receive in their hands. This happens in every production with its own subtleties. In principle, everything is described in other documents, the main one of which is the Labor Code of the Russian Federation. The wage regulations collect the conditions in one text for the convenience of the employer and workers. It consists of several sections with different meanings.

General provisions

The first thing that is indicated in the document is the legislative acts on the basis of which it was drawn up. Any provision on remuneration is based on the Labor Code of the Russian Federation; its norms should not contradict the provisions of the latter. In addition, there are a number of by-laws that regulate the basic principles of the formation of salaries, bonuses, and so on, depending on the employee’s field of activity. So, for example, in enterprises with hazardous conditions, some standards apply, in places with special climatic conditions - others. The general part must indicate who specifically the norms of the document apply to and who is responsible for its implementation. That is, it is necessary to enter the position of the employee who will calculate wages and monitor compliance with legislation in this area. Naturally, these duties must be included in his instructions. The terms and procedure for payments are also indicated here. These are, so to speak, the obligations of the employer.

Wage

This section is directly devoted to describing the procedure for generating payments. All parts of the salary are specifically spelled out here: salary, allowances, bonuses, and so on. In addition, all types of bonuses provided under certain conditions are explained in detail. For example, the wage regulations of an LLC may include a list of norms and requirements related to production participants. If working conditions at an enterprise are different, then they should be broken down for each group of workers separately. At the same time, all the nuances are described in as much detail as possible. In addition, this section should contain information on the procedure for calculating payments in cases where the conditions for fulfilling duties deviate for one reason or another from the standard ones.

Bonuses

This is the favorite section of all employees. It specifies the conditions and forms of bonuses. One company believes that this payment should be fixed, another - as a percentage of... (the body may also be different). All conditions are specifically and in detail described in this section. It is important to pay some attention to the issues of the circle of employees who may qualify for a bonus, the conditions necessary for the implementation of this payment. It happens that an enterprise adopts a complex reward system; it needs to be deciphered in this section or a link to another document regulating this process must be made. The standard provision contains information on the terms, amounts and conditions of bonuses. It is important to indicate the conditions under which this payment is not made. In principle, the main function of this document is to clearly and in detail convey to the employee the rules of payment. Therefore, all points must be formulated in an accessible and unambiguous manner.

Other conditions

This is the most free section of the provision. It includes conditions that were not taken into account in the previous ones. These most often include social norms in special cases. For example, a wage regulation may contain information on the procedure for payments to women going on maternity leave, employees wishing to receive parental leave, and more. Many enterprises describe in this section special payments for workers retiring. These may be special bonuses for those who have worked in this organization for a long time. It is advisable to stipulate here what benefits an employee may have in the event of the loss of a breadwinner and other rare situations in life.

Final provisions

This section includes very specific conditions: when the provisions of the document begin to apply, who is responsible for its storage. This often describes where exactly the position will be kept, especially if the organization is large, with a huge management team. It is important in this section to include information about the order in which the document can be changed or supplemented, the procedure for agreeing on these changes with the team or trade union organization, and more. In addition, it is advisable to include in the provision a methodology for familiarizing employees with its contents and those responsible for this type of work (usually either a lawyer or a personnel officer).

Statement

Often this point is forgotten by those who write the regulations. However, its norms come into force only after the document is signed by the head or approved by his order. At enterprises where a trade union organization has been created, it is advisable to coordinate the situation with its representative body. When the formalities have been completed, it is necessary to familiarize all those for whom it was created, that is, employees, with its contents. This can be done at a general meeting to save time. But written confirmation that workers know what is written in it is mandatory. For example, you can create a special familiarization log or statement in which each employee will put the date of familiarization and personal signature.

Why does an employer need a position?

From the administration’s point of view, the document primarily acts as a regulator and indicator of wage amounts (for tax authorities). It must indicate
minimum wage corresponding to existing standards. In addition, the provision helps to influence unscrupulous employees, stimulating their activity through “carrot and stick” measures. Since it spells out all the incentive measures and conditions of punishment, they can be applied without fear, without fear of litigation. It is for this reason that mandatory written confirmation of the employee’s familiarization with the document is required in order to avoid unfounded claims.

Usefulness for the opposite side of the relationship

By understanding the meaning and methodology of wage formation, anyone can control the employer. It is no secret that production often “forgets” to give bonuses to those who, for some reason, are disliked by management.

Often this does not relate to the level and quality of performance of duties. So, any employee can appeal to the points of the document in order not to submit to the arbitrariness of management. That is, for the worker, this document acts as a kind of guarantor against unreasonable demands or nagging from the boss. In addition, from its contents it becomes clear which official to contact in specific cases. This makes the payroll mechanism transparent and clear for the worker, simple and logical for the administration. In the event of litigation related to wages, he can act as a regulator of relations.

1. General Provisions

1.1 These Regulations have been developed in accordance with the legislation of the Russian Federation and provide for the procedure and conditions for remuneration, material incentives and incentives for employees of the enterprise OJSC "Enterprise", hereinafter referred to as the "enterprise".

1.2 This provision applies to persons engaged in labor activities at the enterprise on the basis of employment contracts concluded with the enterprise (hereinafter referred to as “employees”).

1.3 This provision applies to employees working at the enterprise as their main place of work in accordance with the staffing table, as well as those working part-time, external or internal.

1.4 Changes and additions to these regulations are made by agreement of the administration and the trade union organization of the enterprise and are approved by order of the director.

1.5 In this provision, remuneration means money paid to employees for the performance of their labor function, including compensation, incentives and incentive payments made to employees in connection with the performance of labor duties, in accordance with the legislation of the Russian Federation, employment contracts, this provision, job descriptions and other local regulations of the enterprise. Remuneration depends on the qualifications of the employee, the complexity and conditions of the work performed, as well as the quantity and quality of labor expended.

1.6 Remuneration for employees of the enterprise includes:

» constant part - wages, consisting of the tariff rate, official salary, piecework part, as well as allowances and additional payments to them;

» variable part - incentive and incentive payments for the proper performance of labor functions by employees, made in addition to the constant part of wages in accordance with the Regulations on bonuses and material incentives for employees of the enterprise.

1.7 The company has the following remuneration systems:

1.8 time-based - a remuneration system in which the tariff part of the employee’s wages is accrued for the time actually worked by him at the established tariff (salary, daily or hourly tariff rate). Records of actual time worked are kept by employees in accordance with working time records (time sheets) in accordance with the Regulations on maintaining time sheets;

» time-bonus - a remuneration system in which a bonus in a certain percentage of the tariff rate or other measure is added to the amount of earnings at the tariff, or the amount of the bonus is determined by the amount. In this case, the workers' salary consists of two parts. The first part is the salary or the product of the daily (hourly) tariff rate by the time worked. The second part consists of material incentives for performing labor functions provided that employees comply with established indicators and bonus conditions in the form of monthly (current) and one-time (one-time) bonuses;

» Piece-bonus - a wage system in which the tariff part of the employee’s wages is accrued in a predetermined amount for each unit of work performed or products manufactured (expressed in production operations or natural units). Under the piecework wage system, labor is paid on the basis of piecework rates. When the standard volume of work of appropriate quality is completed, a bonus is awarded for piecework payment. The piece-rate wage system is used to pay the workers of the enterprise.

1.9 Every year, the economic planning department develops a labor plan and staffing schedule for the structural divisions of the enterprise. The formation of the wage fund (the enterprise as a whole and each structural unit) is carried out within the limits established by the staffing table and labor plan.

1.10 Control over the compliance of accrued wages with existing provisions on bonuses and wages is carried out by the planning and economic department of the enterprise.

2 Concepts and definitions

2.1 Tariff rate (salary) is a fixed amount of remuneration for an employee for fulfilling a standard of work (job duties) of a certain complexity (qualification) per unit of time.

2.2 Piece rate - the amount of payment for the production of a unit of product or for performing a certain amount of work.

2.3 Additional payment is a payment in addition to tariff rates (salaries), which is of a compensatory nature for the employee’s additional labor costs, which are associated with working conditions, characteristics of work activity and the nature of certain types of work.

2.4 An allowance is an incentive payment to the tariff part (salary), which is permanent or temporary in nature.

2.5 Bonuses and other incentive payments are incentive payments, both regular and one-time in nature, related to the employee’s performance.

2.6 Tariff category is a value that reflects the complexity of work and the qualifications of the employee.

2.7 Tariff schedule - a set of tariff categories of work (professions, positions), determined depending on the complexity of the work and the qualification characteristics of workers using tariff coefficients.

2.8 Tariff system - a set of standards with the help of which differentiation of tariff rates and official salaries of employees of various categories is carried out.

2.9 The staffing table is a local regulatory document that contains a list of structural units, job titles of permanent employees, indicating the number of positions of the same name (vacancies) and official salaries, approved by the head of the organization.

3 Unified tariff schedule

3.1 The Unified Tariff Schedule (UTS) is used to remunerate workers, managers, specialists and employees.

3.2 Hourly rates and salaries are determined in accordance with the Unified Tariff Schedule of the enterprise. The UTS is based on the distribution of workers into pay categories depending on the complexity of the work performed.

3.3 The range of ETS digits is from 1st to 15th digit.

3.4 For machine tools for processing metals and other materials on metalworking equipment, with piecework wages, an adjustment factor of 1 is applied to hourly wage rates.

3.5 For piecework payment for other work, a correction factor of 0.95 is applied.

3.6 For workers paid on a time basis, a coefficient of 0.95 is used to calculate the monthly salary. This grid is used to pay workers in the main production.

3.7 For employees paid on a time basis, an adjustment factor to the UTS tariff rates of 0.6 is applied to calculate the monthly salary. This grid is used for remuneration of workers of the following categories: “managers”, specialists”, “employees”, as well as for time-waged workers in auxiliary and service industries.

3.8 To remunerate the security guards of the Enterprise Security Service, an hourly tariff rate with an adjustment factor of 1 is used.

3.9 The salary of cleaners of production and office premises is calculated as 1050 rubles multiplied by the coefficient of the actual volume of work from the established norm of the area cleaned.

3.10 The salary of deputy general directors is determined by order of the general director.

3.11 The salary of the General Director is determined by the decision of the Board of Directors.

4 The procedure for forming the staffing table and remuneration of personnel

4.1 The staffing table is formed by the economic planning department and approved by the director of economics annually no later than December 25 of the current year. Changes and additions to the approved staffing table are made by the document “Changes to the staffing table”, approved by the director of economics in agreement with the head of the planning and economic department on the basis of memos from department heads.

4.2 The staffing table establishes the distribution of employees of the organization’s structural divisions by position, their number, approves official salaries for employees on time-based and time-based bonus systems and hourly tariff rates for employees on the piece-rate system, various types of bonuses and additional payments to them, the wage fund of these divisions is determined.

4.3 The distribution of employees by pay grade is reflected in the enterprise’s staffing table and the employment contract concluded upon admission to work.

4.4 Tariffication of work and assignment of tariff categories to employees is carried out taking into account the Unified Tariff and Qualification Directory of Works and Professions and the Unified Tariff and Qualification Directory of Positions of Managers, Specialists and Employees.

4.5 Changes in the wage category of workers are made based on the results of certification. The procedure for certification is regulated by STP SMK 6-002-2006 “Personnel Management”, section 9 “Procedure for certification and verification of personnel competence”. The decision to assign a rank up to the 3rd inclusive is approved by the head of the division, from the 4th and above in agreement with the deputy general director (according to the subordination of the division) by order of the general director.

4.6 The names of the professions of workers and positions of employees in the staffing table correspond to the All-Russian Classifier of professions of workers and positions of employees and tariff categories.

4.7 In addition to the title of the position, since they do not always characterize the complexity of the work and the required qualifications, the staffing table provides for the division of individual positions into qualification categories, on which the size of the official salary depends.

4.8 When establishing qualification categories for specialists, the degree of independence of the employee, his responsibility for the correctness of decisions made, practical experience and knowledge in his specialty are taken into account.

4.9 The salary according to the tariff is supplemented by a system of additional payments in the form of additional payments and allowances. Additional payments are compensatory in nature, and allowances are primarily stimulating.

4.10 Allowance is a monthly incentive payment of an individual nature, established for the employee in accordance with the nature, characteristics of the work and professional qualifications of the employee.

4.11 Supplements to the official salary are fixed in the employment contract concluded with the employee, or are established for the employee individually by order of the General Director, issued on the basis of a proposal from the head of the department to which the employee is admitted.

4.12 During the validity period of the employment contract, allowances to the official salary may be introduced, changed and canceled by order of the General Director in the event of a change in the scope of job responsibilities, improvement of professional qualifications, as well as in other cases.

4.13 Additional payment is a payment of a compensatory nature established by an employee for performing work with his consent that is not provided for in the employment contract for the main position he is filling and/or the functional responsibilities of the employee, job description, or for performing work in conditions deviating from normal and other cases provided for by this regulations or legislation of the Russian Federation.

4.14 Additional payments are established for employees by order of the General Director, issued on the recommendation of the head of the unit or by order of the head of the unit, agreed with the PEO.

4.15 Additional payments can be established indefinitely, for a specific period or for a period of time during which additional work is performed or work is performed in conditions deviating from normal conditions, in proportion to the time such work is performed.

4.16 Additional payments for combining positions (professions), expanding service areas or increasing the established volume of work are established from the day the employee began performing additional work. When standards are revised, as well as when the quality of work deteriorates, such additional payments may be reduced or completely canceled, and the employee may be fully or partially relieved from performing additional duties. If the manager makes such a decision, the employee must be notified orally no later than three days before the proposed cancellation or reduction of such additional payments.

4.17 For employees who have worked for less than a full month, bonuses and additional payments are accrued in proportion to the time worked.

4.18 When determining the time to be paid in accordance with this provision, the following periods are not taken into account:

» the length of time the employee is on regular annual and additional paid leave;
» time spent on leave without pay;
» the length of time an employee is on maternity leave or childcare leave until the child reaches 3 years of age;
» period of temporary incapacity for work;
» the period during which the employee was suspended from work in the manner prescribed by the legislation of the Russian Federation;
» the period during which the employee was absent from work without good reason, as well as the period of downtime due to the fault of the employee.

4.19 Determination of wages for the main position and those held part-time is carried out separately for each position.

5 Types and size of incentive bonuses

5.1 Allowance for a high level of qualifications. It is established for employees individually for a skill level exceeding the level of complexity of work reflected in the classification of the enterprise's unified technical system. The amount of the bonus is determined in absolute terms by order of the General Director based on the request of the head of the division. The bonus is set from the date specified in the order of the General Director until the end of the current year with the possibility of annual extension. The bonus for a high level of qualifications can be changed or canceled by decision of the head of the department with prior notification to the employee no later than three days before the change or cancellation.

5.2 The bonus for car drivers for “classiness” is established on the basis of a driver’s license by order of the General Director. Assignment to a 2nd class driver is made if the driver’s license contains permitting marks “B”, “C”, “E” or only “D”, and to a 1st class driver - “B”, “C”, “D” and "E". Supplement amount:

» 1st class - 20% of the employee’s salary;
» 2nd class - 10% of the employee’s salary.

5.3 Allowance for drivers of passenger cars for irregular working hours. It is established by order of the General Director in the amount of 25% of the salary.

5.4 Allowance for working with classified information. The bonus is established for employees admitted to state secrets as a percentage of the official salary by order of the General Director in the following amounts:

» for working with documents classified as “Top Secret” - 35-30%;
» for working with documents classified as “Secret” -20%.

5.5 The bonus for discipline is established by the staffing table of the structural unit and is fixed in the employee’s employment contract. This bonus is established for time-based employees as a percentage of their salary. An employee may be deprived of a discipline bonus in whole or in part for the following violations:

» allowing defects or deterioration in product quality;
» violation of technological discipline;
» non-compliance with standards and technical specifications;
» non-compliance with labor protection, safety and industrial sanitation rules;
» refusal to work, failure to comply with orders of officials;
» unsatisfactory maintenance of the workplace according to the conclusion of the commission on production culture;
» careless attitude to the operation of equipment and tools;
» violation of production discipline, as well as internal labor regulations.

5.6 Deprivation or reduction of the bonus amount is made only for the billing period in which the omission in work was committed (or identified) and is formalized by order of the General Director indicating the reasons.

6 Types and amounts of compensation surcharges

6.1 Additional payment for overtime work with time-based wages and normal working hours is established: for the first two hours of overtime work - at one and a half times the hourly wage rate; for subsequent hours of overtime work - double the hourly rate. For workers on piecework wages, payment for products produced while working in excess of normal working hours (overtime) is made based on piecework earnings: for the first two hours of work - in one and a half times the average hourly piecework wage for the current month; for subsequent hours - double the average hourly piece rate. At the request of the employee, overtime work, instead of increased pay, can be compensated by providing additional rest time, but not less than the time worked overtime.

6.2 The specified additional payments are not made to employees for whom irregular working hours are established. Irregular working hours are a work regime in accordance with which individual employees may, by order of the employer, if necessary, be involved in the performance of their labor functions outside the normal working hours. An employee can be involved both before the start of the day (shift) and after the end of the working day (shift). The employee's consent to be involved in such work is not required.

List of workers with irregular working hours:

» General Director, Deputy General Directors;
» deputy chief engineer, deputy director for economics, deputy commercial director, deputy head of the security service;
» chief accountant and his deputy;
» department heads, deputy department heads;
» chief technologist, chief power engineer, chief mechanic, chief metallurgist, chief designer;
» administrative department specialists.

6.3 Surcharges and holidays. For work on weekends and non-working holidays, all employees of the enterprise are paid double the amount if the work was performed in excess of the monthly working time standard and in a single amount if the work was performed within the monthly working time standard. For workers on piecework wages, daily output on a day off should not exceed the prevailing average daily output within one month. At the request of an employee working on a weekend or holiday, he may be given another day of rest.

6.4 For work on weekends and overtime, compensatory additional payments and allowances are accrued in a single amount. Incentive payments are calculated in accordance with the bonus provisions.

6.5 Additional payment for night work. Night time is considered to be work from 22:00 to 6:00. Additional payment is established for all employees in the amount of 40% of the hourly tariff rate for each hour of work at night.

6.6 Additional payment for work in hazardous working conditions. The additional payment is determined based on the results of workplace certification. The list of professions (positions) entitled to additional payment for work in hazardous working conditions is established by order of the General Director for the provision of the industrial safety department, with mandatory agreement with the trade union committee. The additional payment is set as a percentage of the tariff part of the salary. If an additional payment for hazardous working conditions is included in the price, this additional payment may not be highlighted in the pay slips.

6.7 Additional payment for leading a team. It is established in absolute terms based on the provisions on production teams. These provisions are consistent with the PEO and approved by the Director of Economics.

6.8 For work performed by employees in excess of the work provided for by service standards, employment contracts and/or functional responsibilities, the following additional payments are established:
» for performing the duties of a temporarily absent employee - established by order of the unit in agreement with the PEO;
» for combining professions (positions) - established by order of the General Director;
» for expanding service areas and increasing the volume of work - established by order of the General Director.

6.9 The amount of additional payments is set by the employer, based on the possibility of effectively performing combined work, and ranges from 30 to 50% of the official salary of employees in the categories “main and auxiliary workers”, “specialists” and “employees”. In the absence of a “manager”, the amount of additional payment to the acting person is established in the form of payment of the difference in salaries; if there is no difference or it is insignificant, then the additional payment is established on an individual basis by the decision of the director of economics. The additional payment for cleaning the premises, territory, and keeping time records is set at 100%. Also, a 100% amount of additional payment can be established for other types of work in exceptional cases by the director of economics at the request of the head of the department. Work paid by piecework is paid in accordance with piecework rates for the actual amount of work performed.

7 Material incentives for employees (incentive payments)

7.1 Motivational fund. The motivation fund is intended to stimulate the interest of employees in mobilizing existing reserves for the timely and high-quality completion of important and urgent work with a smaller number, stimulating the performance of work that is not part of the direct responsibilities of employees, and material support for new employees in the first months of work at the enterprise. The size of the motivation fund by department is approved annually by order of the Director of Economics. The motivation fund is reduced for overspending of the wage fund by the department. The distribution of the motivation fund is carried out by the head of the unit on a monthly basis and agreed with the PEO.

7.2 Awards. Bonus payments are calculated in accordance with the Regulations on bonus wages of JSC Enterprise, which is Appendix No. 3 to the collective agreement. This provision regulates the size, procedure and frequency of payment of bonuses to employees.

7.3 One-time remuneration. For special achievements in work or upon completion of a project, individual employees may be paid one-time remunerations (one-time bonuses) based on the request of the head of the division and the corresponding deputy general director. One-time bonuses can also be paid based on the results of work for the year. The size and timing of payment of one-time bonuses are determined by order of the General Director.

8 Other payments

8.1 Other payments include all types of compensation payments established by current legislation:

» compensation for damage caused by injury or other damage to health;
» dismissal of employees, with the exception of compensation for unused vacation;
» reimbursement of other expenses, including expenses for improving the professional level of employees;
» the employee’s performance of work duties while on a business trip (in terms of reimbursement of travel expenses);
» the amount of one-time assistance provided in connection with the death of his family members;
» amount of compensation for the cost of the trip;
» one-time assistance in connection with retirement.

9 Regional coefficient

9.1 Regional coefficient - additional payment for work in areas with special climatic conditions. Carried out in accordance with the current legislation of the Russian Federation. The size of the regional coefficient for the city of Kr-ska is set at 30%. The regional coefficient is calculated for all types of remuneration, with the exception of:
» payments under construction contracts;
» one-time remuneration;
» other payments for which the legislation of the Russian Federation does not provide for the calculation of a regional coefficient.

10 Cases of maintaining average earnings

10.1 The employee’s stay on annual regular, additional and study leave within the amount established by Article 173 of the Labor Code of the Russian Federation.

10.2 Business trip. Employees on a business trip are subject to the working hours and rest hours of the enterprise to which the employee is posted. In exchange for rest days unused during a business trip, other rest days are not provided, except in cases where the employee is specially sent to work on weekends or holidays. The specifics of payment for an employee on a business trip are additionally regulated by the instructions.

10.3 When undergoing a medical examination by employees who are required to undergo such an examination.

10.4 When performing work by pregnant women and women with children under 1.5 years of age.

10.5 When transferring an employee who, in accordance with a medical certificate, needs to be provided with another job (light labor), to another permanent lower-paid job for a period of one month. When transferring due to a work injury, occupational disease and (or) other health damage associated with work at OJSC "Enterprise" - until a permanent loss of professional ability to work is established or until the employee recovers (Article 182 of the Labor Code of the Russian Federation).

10.6 When donating blood and its components free of charge for the days of donation and the days of rest provided in connection with this.

10.7 When temporarily transferred to another job, in case of production necessity.

10.8 When sending an employee for advanced training while taking time away from work.

10.9 When representing the interests of employees participating in negotiations during the preparation of a draft collective agreement, in the commission on labor disputes, etc.

10.10 In other cases provided for by the Labor Code of the Russian Federation, a collective agreement, and other legal acts.

11 Payment of wages and other payments

11.1 Wages are accrued to employees in the amount and manner provided for by the Collective Agreement and these regulations.

11.2 Wages are paid at least every half month on the days established by the collective agreement of the enterprise.

11.3 Upon termination of the employment contract, final payment of wages due to him is made within three days from the last day of work specified in the order of dismissal of the employee.

11.4 Payment for vacation to employees is made no later than three days before it starts.

11.5 Payment of benefits for temporary disability is made on the nearest day of payment of wages following the date of submission of a properly executed certificate of temporary disability to the personnel department of the enterprise.

In this article we will look at the regulations on remuneration of employees in 2018. We will find out what it is and analyze the procedure for approving the regulations on remuneration.

When applying for a job, each employee must be sure that in the process of performing his official duties his rights will not be violated, including in terms of timely payment of wages. Therefore, the approval of the internal regulations on remuneration for all legal entities is enshrined at the legislative level.

Regulations on remuneration of workers: general information

The normative act regulating the amount, procedure and terms of payment of wages is an internal document that the organization develops as part of the approval of basic pay for the performance of official duties and motivational payments for special achievements or incentives on the occasion of holidays or important events. The document is developed taking into account the economic potential of the organization as a whole. This document may regulate:

• Dates or period of payment of wages and advances;
• Terms of payment and amount of bonuses to all employees of the organization as a whole;
• Payments of motivational bonuses and bonuses based on the performance of job duties;
• Determining the conditions and procedure for calculation and payments depending on the position held and the characteristics of the activities performed, etc.

Development of wage regulations

In order to form a system of incentives and material rewards for labor achievements, the organization is obliged to develop an internal regulatory act that will regulate in detail all the nuances of the bonus system. This document cannot infringe on the rights of some employees and without fundamentally highlighting others. Therefore, when developing a regulatory document that will regulate the general principles of remuneration and material incentives for employees, managers must use the following principles:

• Incentive and motivation payments should not exceed employee productivity. This means that too much monetary remuneration, not tied to the direct performance of work duties, can generally have a bad effect on both the motivation of employees and the economy of the enterprise as a whole.
• Discrimination against employees should not be allowed, as this can lead to many unpleasant consequences, including litigation.
• Each employee should have the opportunity to increase their earnings in equal conditions and according to the same principles as other employees.

After drawing up the salary regulations, it must be endorsed by the general director and, if necessary, the chief accountant and head of the human resources department. Moreover, after this internal law comes into force, violation of it by the organization may cause the employee to contact the labor inspectorate to protect his rights established by this document.

The expediency of adopting a regulation on remuneration

An internal regulatory document regulating the procedure for calculating and paying salaries and bonuses is developed only once. At the same time, it can benefit not only employees, in terms of protecting their rights and financial security, if you can call it that, but employers themselves for several reasons:

• The employee will be clearly aware of all the nuances of salary payment, as well as the conditions for paying motivational or other bonuses. And this means a certain openness of the employer to its employees.
• All legal requirements for maintaining internal regulations and notifications to employees will be fully satisfied, which means that there will be no problems during inspections by authorized state inspectors.
• The establishment of clear rules simplifies control over the implementation of provisions regulated by internal documents.

Changes in labor legislation

The most important changes that have been adopted since January 2017 concern mainly small businesses. For them, certain relaxations were adopted in terms of drawing up internal regulations governing labor standards for small businesses.

Starting from this year, small businesses, especially those belonging to the so-called micro-businesses, are not required to develop internal regulations regarding remuneration, work schedules, bonus provisions, etc.

Legal documents regulating the provisions on remuneration

The format of the wage regulations is established in a free form that does not contradict existing legislation, which regulates the relationship between the employer and employees. When developing a regulatory act, managers must rely on the specifics of the organization’s activities, the company’s staff, and we must not forget about the economic component of this provision.

The table below presents basic concepts that can be applied and disclosed in detail in a regulatory act regulating the provisions on remuneration.

Criteria for assessing the work of employees of the organization

Some organizations have various criteria by which each employee's contribution to overall performance is assessed or a system of personal evaluation of each employee based on the performance of work. For this purpose, there are many different assessment systems that are used within the specifics of each individual organization. Therefore, such criteria can be established depending on:

• Quality of performance of job duties;
• Employee behavior: punctuality, politeness, diligence, etc.;
• Fulfillment of the established plan;
• Attracting customers or the amount of revenue received for a specific period, etc.

Typical errors related to wage regulations

Mistake #1. Violation of deadlines for payment of wages

Labor legislation clearly defines the conditions for payment of wages - at least twice a month. This means that violation of this provision is punishable by the labor commission as a violation of employee rights. The employer compensates for each day of delay with interest calculated on the amount of wages that the organization should have paid on time. Therefore, payment dates must be established by internal regulations, which every employee of the organization must be familiar with. This is done so that there are no misunderstandings about the deadlines, and the employee is also notified of his rights in this organization.

Mistake #2. Providing a payslip

Another important nuance is the approval of the form of the payslip, which the employer must regularly provide to its employees upon transfer of payment for the activities performed. At the same time, transferring wages to a bank settlement employee in no way relieves the employer of the obligation to submit a settlement document.

Common questions and answers

Question No. 1. What information should the payslip include?

Answer: The payslip should provide maximum detail of the amount due to be paid to the employee. Therefore, it must include all information about accrued amounts (salary, bonus, sick pay, vacation pay, etc.), as well as all amounts that are subject to deduction from wages (personal income tax, deduction for damage incurred, etc.). There should also be information about the employee (full name, position, division or department, etc.) and the period for which the payment was made.

Question No. 2. What criteria for microbusiness are defined in the legislation?

Answer: There are two main criteria by which an activity can be classified as a small business, including microbusiness:

• The total amount of receipts for the previous reporting period (year) should not exceed 120 million rubles;
• The number of officially employed employees should not exceed fifteen people.