Computing EDP Rates Example (cont.)
2) Compute the Sunday EDP Rate: The EDP rate for Sunday work is the basic EDP rate plus 25 percent.
• Multiply $2.49 (base rate) X .25 = .6225, rounded off = .62 • $2.49 + .62 = $3.11
• $3.11 is the Sunday EDP rate.
3) Compute the Overtime EDP Rate: The EDP rate for overtime work is the basic EDP rate multiplied by 1.5.
• $2.49 (basic rate) X 1.5 = 3.735, rounded off = 3.74 • $3.74 is the overtime EDP rate.
ENVIRONMENTAL DIFFERENTIAL C Actual Exposure
Introduction An employee entitled to EDP on an actual exposure basis is paid a
minimum of 1 hour EDP for the exposure. For exposure beyond one hour, the employee is paid in increments of one quarter hour for each 15
minutes or portion in excess of 15 minutes.
Entitlement begins with the first instance of exposure and ends one hour later, except that when exposure continues beyond the hour, it is
considered ended at the end of the quarter hour in which exposure actually terminated. Rules to Determine Number of EDP Hours
For 1 hour or less - 1 hour of EDP.
Example: Nancy is exposed for 5 minutes. She earns 1 hour of EDP.
For more than 1 hour - 1 hour of EDP and 1/4 hour for each additional 15 minutes and portion thereof in excess of 15 minutes.
Example: Sarah is exposed for 1 hour and 18 minutes. She earns 1 hour and 30 minutes of EDP.
Example: Bill is exposed for 1 hour and 16 minutes. He earns 1 hour and 30 minutes of EDP (two quarter-hour increments).
Reminder: Always round up.
For intermittently during a shift - Each exposure is considered separately, and each exposure that is less than 1 hour is first increased to an hour and then added together. However, the number of hours of EDP may not exceed the number of hours worked by the employee on the day of the exposure.
Example: Richard is exposed to unusually severe hazards between:
• 8:00 a.m. and 8:20 a.m. • 10:15 a.m. and 10:35 a.m. • 1:05 p.m. and 1:40 p.m.
He is entitled to 3 hours of EDP. However, if Richard had been exposed at 9 different times, for periods of less than 1 hour each during an 8-hour shift, he would receive 8 hours of EDP, not 9 hours.
ENVIRONMENTAL DIFFERENTIAL - Actual Exposure Rules to Determine Number of EDP Hours (cont.)
More than one category or situation during the same hour - The exposure which results in the highest differential.
Example: Matthew is required to perform high work (25 percent rate) involving high voltage electrical energy (50 percent rate) for 20 minutes during an 8-hour shift.
He receives 1 hour of EDP at the 50 percent rate applicable to "high voltage electrical energy" working conditions.
Examples Assume that the employees in the two examples here are both in a hypothetical wage area, XYZ, and that the EDP rates were computed correctly. The EDP rate of actual exposure is $10.00 for regular hours, $12.50 for Sunday hours, and $15.00 for overtime hours.
Example 1: Janice works on the second shift from 3:00 to 11:30 p.m., Sunday through Thursday, with a meal break from 6:00 to 6:30 p.m. During Week 2, she was exposed to a hazard (flying as a crew member) for 2 hours on Sunday, 3 regular hours on Monday, and 4 overtime hours on Friday. The pay period totals are:
• 80 regular hours;
• 80 night differential hours, Shift 2; • 16 Sunday premium hours, Shift 2; • 4 overtime hours, Shift 2;
• 2 Sunday premium EDP hours (rate - $12.50); • 3 regular EDP hours (rate - $10.00); and • 4 overtime EDP hours (rate - $15.00).
Clarification: Janice receives:
• 8 regular hours each day (Sunday through Thursday); • 8 night differential hours, Shift 2, each day;
• 16 Sunday premium hours, Shift 2 (8 each Sunday); • 4 overtime hours, Shift 2 (overtime on Friday);
• 2 Sunday premium EDP hours (EDP at the Sunday rate); • 3 regular EDP hours (EDP at the basic rate); and
• 4 overtime EDP hours (EDP overtime on Friday).
The percentage for flying is 100 percent. Therefore, Janice is paid the full amount of the computed EDP rates for the XYZ wage area.
ENVIRONMENTAL DIFFERENTIAL - Actual Exposure
Examples (cont.)
Example 2: Manuel works on the first shift from 7:30 a.m. to 4:00 p.m., Monday through Friday, with lunch from 12:00 noon to 12:30 p.m. During the first week of the pay period, on Thursday after leaving work at 4:00 p.m., he was called back to work overtime from 6:00 to 7:00 p.m. On Saturday, he worked overtime from 9:00 a.m. to 12:00 noon.
During Week 1, Manuel was actually exposed to two hazards, dirty work (4%) and high work (25%).
The EDP rate of actual exposure for 4% is $.40 for regular hours and $.60 for overtime hours. The EDP rate of actual exposure for 25% is $2.50 for regular hours and $3.75 for overtime hours.
The pay period totals are: • 80 regular hours;
• 2 callback overtime hours, Shift 1; • 3 overtime hours, Shift 1;
• 4:30 regular EDP hours @ $.40; • 3:30 regular EDP hours @ $2.50; • 1 overtime EDP hour @ $.60; and • 1 overtime EDP hour @ $3.75.
Clarification: See chart on next page for actual exposure hours. Manuel receives:
• 1 hour of regular EDP @ $.40 for Monday, Week 1; • 1 hour of regular EDP @ $2.50 for Monday, Week 1; • 1:30 hours of regular EDP @ $.40 for Tuesday, Week 1; • 1:30 hours of regular EDP @ $2.50 for Tuesday, Week 1; • 1 hour of regular EDP @ $2.50 for Wednesday, Week 1; • 1 hour of regular EDP @ $.40 for Wednesday, Week 1; • 1 hour of overtime EDP @ $.60 for Thursday, Week 1; • 1 hour of regular EDP @ $.40 for Friday, Week 1; and • 1 hour of overtime EDP @ $3.75 for Saturday, Week 1.
• 8 regular hours each day, Monday through Friday, both weeks; • 2 hours callback overtime, Shift 1, Thursday, Week 1 (though he
worked 1 hour, he is entitled to 2 hours of pay for callback overtime); and
• 3 overtime hours, Shift 1, Saturday, Week 1.
ENVIRONMENTAL DIFFERENTIAL - Actual Exposure
Chart Chart for Example 2: Manuel's actual exposure hours are:
Day Hours Actually
Exposed
Type of Actual Exposure & Rate
Differential Earned by the Employee
Monday 8:30 a.m. - 9 a.m. 9:20 a.m. - 9:30 a.m. 10 a.m. - 10:30 a.m. 10 a.m. - 10:05 a.m. Dirty work, 4% High work, 25% Dirty work, 4%
1 hour @ 4% (2nd exposure is at same rate in same hour)
1 hour @ 25% (pay for an hour at higher rate only)
Tuesday 8 a.m. - 8:05 a.m. 8:55 a.m. - 9:20 a.m. 10 a.m. - 10:04 a.m. 10:55 a.m. - 11:10 a.m. 11:14 a.m. - 11:20 a.m. Dirty work, 4% Dirty work, 4% Dirty work, 4% High work, 25% Dirty work, 4% 1 hour @ 4%
30 minutes @ 4% (continuation of preceding hour)
1 hour @25% (see following - employee receives higher of two rates)
15 minutes @25% (continuation of preceding hour) 15 minutes @ 25%
Wednesday 8:45 a.m. - 9 a.m. 9:40 a.m. - 9:45 a.m. 3:55 p.m. - 4 p.m.
Dirty work, 4% High work, 25% Dirty work, 4%
1 hour 25% (pay for an hour at higher rate)
1 hour @ 4%
Thursday 6 p.m. - 6:30 p.m. Dirty work, 4% 1 overtime hour @ 4% Friday 8:45 a.m. - 8:50 a.m. Dirty work, 4% 1 hour @ 4%
Saturday 9:05 a.m. - 9:30 a.m. Cold work, 25% 1 overtime hour @ 25%