Exceeding the working time limit
When we process your application for adjusted earnings-related daily allowance, we check whether you have exceeded the working time limit during the application period. We compare the maximum working hours of a full-time employee with the number of hours you have been paid for.
We cannot pay you a daily allowance if, on your payday during the application period, you have been paid for several hours worked that is more than 80% of the maximum hours of a full-time employee.
Working time limit
The maximum working hours of a full-time employee depend on the collective agreement that applies to your job. If there is no collective agreement, we apply the regular working hours defined in the Working Hours Act, which is 8 hours a day.
In most cases, the maximum working time of a full-time employee is 7.5 to 8 hours per day. According to the law, this maximum working time per day is converted into the maximum working time of the month using a factor of 21.5. The factor is the same regardless of how the actual number of working days in the month.
Maximum monthly working time is about 161 - 172 hours, depending on the sector. To calculate 80% of maximum hours, we multiply the maximum monthly hours by 0.8. Thus, depending on the sector, the working time limit for adjusted daily allowance is around 128-137 hours per month.
If the application period is four weeks (Monday to Sunday) instead of a month, we use a factor of 20 to calculate the maximum working time.
Inclusion of working hours in the calculation
Paydays that fall on the application period define which hours we consider in the calculation of working time.
Example 1, no obstacle
The application period is from 1.10. to 31.10.2022 with a payday on 15.10.2022. On payday, the employee is paid for 75 hours worked.
The collective agreement for the retail sector applies to the employment relationship, according to which the maximum hour of a full-time employee is 37.5 per week or 7.5 hours per day. The maximum monthly working time is 161.25 hours (7.5 hours per day times 21.5).
The 80% working time limit is 129 hours (161.25 hours times 0.8).
During the application period, the employee is paid for 75 hours worked. The paid hours do not exceed the limit of 80% (129) of the maximum working time. The maximum working time is not exceeded and there is no obstacle to the payment of adjusted daily allowance.
Example 2, no obstacle
The application period is from 1.10. to 31.10.2022 with a payday on 15.10.2022. On payday, the employee is paid for 129 hours worked.
The collective agreement for the retail sector applies to the employment relationship, according to which the maximum hour of a full-time employee is 37.5 per week or 7.5 hours per day. The maximum monthly working time is 161.25 hours (7.5 hours per day times 21.5).
The 80% working time limit is 129 hours (161.25 hours times 0.8).
During the application period, the employee is paid for 129 hours worked. The paid hours do not exceed the limit of 80% (129) of the maximum working time. The maximum working time is not exceeded and there is no obstacle to the payment of adjusted daily allowance.
Example 3, working time limit is exceeded
The application period is from 1.10. to 31.10.2022 with a payday on 15.10. 2022. On payday, the employee is paid for 130 hours worked.
The collective agreement for the retail sector applies to the employment relationship, according to which the maximum hour of a full-time employee is 37.5 per week or 7.5 hours per day. The maximum monthly working time is 161.25 hours (7.5 hours per day times 21.5).
The 80% working time limit is 129 hours (161.25 hours times 0.8).
During the application period, the employee is paid for 130 hours worked. The paid hours exceed the working time limit, which in this case is 129 hours. The employee is not entitled to an adjusted daily allowance, and we cannot pay the allowance.