BASE CODE GUIDANCE: WORKING HOURS

Base Code Guidance:

Working hours
BASE CODE GUIDANCE: WORKING HOURS

1. Introduction 2

1.1 ETI Base Code Clause 6 3

1.2 Clause 6 and international standards 4

1.3 What does clause 6 mean for my company? 5

2. Steps for implementation 6

2.1. Revising policies 6

2.2. Updating procedures 8

2.3. Training and communication 10

2.4. Implementation in practice 12

2.5. Documentation 13

2.6. Monitoring implementation and impact 14

2.7 Responding and investigating 16

3. Additional resources 17

3.1. Online resources 17

3.2. Training resources 17

Annex I. FAQs 18

Annex II. Some common working hours problems and suggested controls 20

Annexe III. Clause 6 and Chinese Law 23

Photos: Asian Development Bank, ILO, World Bank and R Scoble

1 Introduction
Your company depends on its workforce and those of your
suppliers to meet orders, and workers want to work to earn THE BUSINESS CASE FOR AVOIDING EXCESSIVE 1
money. However, the combination of these factors can lead HOURS
to excessive working hours that can negatively impact your
company and workers’ well-being. Regulating working hours is important not only for
workers’ health and safety but also for the company.
Clause 6 of the ETI Base Code on working hours (see box Respecting limits on working hours helps meet legal
2), which was revised with effect from 1 April 20141, helps requirements, avoids penalties and meets customers’
clarify your responsibilities as an employer, while ensuring requirements. Ensuring that workers work a reasonable
that workers’ fundamental rights on working hours are number of hours – and that these hours are agreed to by
upheld. It is one of the most important Base Code clauses the worker – can improve worker satisfaction, morale,
along with freedom of association, living wages safety and welfare. These benefits to workers can also
and discrimination. bring business benefits, such as:

The purpose of this document is to provide practical guidance zz Increased productivity due to better worker health and
on implementing the clause on working hours. It is primarily increased alertness. Well-rested workers generally work
aimed at retailers and brands that want to ensure that they faster and make fewer mistakes.
and their suppliers are following the Code. It offers practical zz Reduced staff turnover.
steps that brands can take to work with and support their
supply chain business partners and also looks at how they can zz A more harmonious workplace as rested workers are
implement clause 6 within their own company’s HR policies. less irritable and less likely to conflict with co-workers
or senior staff.
It should therefore be useful to both companies that are
zz Increased business from customers.
new to the ETI Base Code and need assistance on how to
revise policies and procedures to ensure they are following
the working hours clause, as well as any companies currently
following the Code who want to review or refresh their
compliance.

See the Annexes for FAQs, a summary of common working

hours problems and suggested controls, and guidance on
working hours legislation in China.

1
A previous version of this Guidance document was produced in March 2014 to introduce companies to the revised clause and help them start the process of
compliance. This current Guidance supersedes that document.
 3

2
1.1 ETI BASE CODE CLAUSE 6

6.1 Working hours must comply with national laws, collective agreements and the provisions of 6.2 to 6.6 below,
whichever affords the greater protection for workers. Sub-clauses 6.2 to 6.6 are based on international labour
standards.

6.2 Working hours, excluding overtime, shall be defined by contract and shall not exceed 48 hours per week.*

6.3 All overtime shall be voluntary. Overtime shall be used responsibly, taking into account all the following: the
extent, frequency and hours worked by individual workers and the workforce as a whole. It shall not be used to
replace regular employment. Overtime shall always be compensated at a premium rate, which is recommended
to be not less than 125% of the regular rate of pay.

6.4 The total hours worked in any seven-day period shall not exceed 60 hours, except where covered by
clause 6.5 below.

6.5 Working hours may exceed 60 hours in any seven-day period only in exceptional circumstances where all
of the following are met:
zz this is allowed by national law;

zz this is allowed by a collective agreement freely negotiated with a workers’ organisation representing a
significant portion of the workforce;

zz appropriate safeguards are taken to protect the workers’ health and safety

Workers shall be provided with at least one day off in every seven-day period or, where allowed by national
6.6 law, two days off in every 14 day period.

*International standards recommend the progressive reduction of normal hours of work, when appropriate, to 40 hours per week, without any
reduction in workers’ wages as hours are reduced.
BASE CODE GUIDANCE: WORKING HOURS 4

1.2 CLAUSE 6 AND INTERNATIONAL STANDARDS

It is important to remember that clause 6 (specifically items 6.2 to 6.6)
is based on international standards on working hours. International
standards are considered at the core of and fundamental to the ETI Base
Code, and working hours are no exception.

Relevant ILO conventions:

C1: Hours of Work (Industry) Convention, 1919

C14: Weekly Rest (Industry) Convention, 1921
C47: Forty-Hour Week Convention, 1935
C171: Night Work Convention, 1990

Other relevant international standards and guidelines:

zz The Universal Declaration of Human Rights (1948) states that

all persons have the right to rest and leisure, including reasonable
limitation of working hours and periodic holidays with pay (Article 24).

zz The International Covenant on Economic, Social and Cultural Rights

(1966) addresses labour rights in article 6, which states that workers are
entitled to sufficient rest and leisure, including limited working hours
and regular, paid holidays.

zz ILO Recommendations also address working hours, such as the

Reduction of Hours of Work Recommendation, 1962 (No. 116).
BASE CODE GUIDANCE: WORKING HOURS 5

1.3 WHAT DOES CLAUSE 6 MEAN FOR MY COMPANY?

Any company that follows the ETI Base Code needs to comply with clause 6. Companies that use audits to check on their
suppliers’ compliance with the ETI Base Code should note that such audits must be conducted to the new standard (which was
revised in 2014). The clause now provides greater precision on a number of points and offers clear provisions on hours per week,
overtime and rest days.

To meet the requirements of clause 6, you may need to revise the processes that you use to manage working hours (such as
production planning to avoid long hours) and update your policies and procedures to ensure that:

zz Workers do not work over the legal or ETI limits for regular
or overtime hours.

zz Workers are given one day off in seven. NEGOTIATE WITH TRADE UNIONS 3
zz Legally required breaks are provided to workers during If there is a trade union present at the company, you will
their working day. have to re-negotiate the collective agreement as part of
the process of implementing clause 6.
zz Workers are paid a premium for their overtime hours,
which should be in line with legal requirements or at least
The trade union will be able to help you understand how
the recommended 125% of the regular rate of pay.
any changes will impact on workers.
zz Overtime is voluntary and undertaken with the agreement
of workers. Make sure the union is involved in all stages of your
company’s revision process. If the company has unionised
zz Workers’ hours are accurately recorded, preventing sub-contractors, ensure that there is enough time for those
underpayment of wages. negotiations.

It is important that your updated processes are accurately

Once the negotiation process is complete, communicate
documented and communicated. You should also regularly
the new agreement with the union to all managers,
monitor processes to make sure they are working, making
supervisors and workers. The trade union can also help
adjustments if your policy objectives are off track.
communicate changes to workers thus ensuring a
smoother and more effective transition.
As you make changes to your policies and processes, take
care to work with others, such as trade unions2. Trade union
negotiations and worker agreement as part of this process are
not only necessary but also helpful (see box 3).

The next sections of this Guidance document will take you

through the steps needed to meet the requirements of clause 6.

2
If there are currently no trade unions, companies should allow or facilitate workers to set up and join trade unions and encourage collective bargaining.
This Guidance document refers to trade unions throughout as the ideal, but with the understanding they are not always in place.
BASE CODE GUIDANCE: WORKING HOURS

2 Steps for implementation

In order to effectively implement clause 6 on working hours, you will need to review all of your company’s policies,
procedures, communication mechanisms and documentation systems. All processes used to manage working hours should
comply with its wording. Problems arise when actions and processes designed to prevent excessive working hours are either
poorly maintained or are not implemented at all. Your company should undertake analysis and evaluate the root causes of
potential issues around working hours in order to develop effective and longer-term solutions.

2.1 REVISING POLICIES

The written policies that define your commitments and describe your practices may need to be updated to meet the ETI
standard. For your policies on working hours to comply with clause 6, they should include:

zz A restriction on working more than 48 regular working hours zz Where employment contracts or agreements exist, they
per week.3 Ensure you understand local legal requirements, should specify regular hours, rest days, overtime hours and
since you must follow whichever limit is stricter. Many overtime pay. They should also state that overtime work is
countries have laws prescribing a 40-hour regular work voluntary.
week (see, for example, Annex III Clause 6 and Chinese law).
zz An undertaking to pay for overtime work at a premium
zz A requirement to provide all workers with at least one day recommended to be no less than 125% of regular wages
off per seven-day week. Where national law allows, this (higher if required by laws or a collective agreement). Be
may be met by giving two days off in every 14-day period. aware that many countries legally require that overtime
premiums be a minimum of 150% or higher if, for example,
zz A statement ensuring that overtime will be used the overtime is worked on a holiday.
responsibly, per ETI guidance.
zz A commitment to co-operate on a regular basis between
zz A limit on overtime that follows legal or ETI requirements, worker representatives and staff handling wages and
whichever is stricter. Total working hours should not benefits to ensure that all hours worked, including
exceed 60 per week except under rare and exceptional overtime hours, are paid in full and on time.
circumstances and only if permitted under local law.4
Make clear in the policy that under no circumstances zz A grievance procedure to record and respond to all
should workers’ health and safety be compromised by complaints related to issues of working hours and
excessive working hours. Any work over 60 hours per prescribing outlets for workers to ask questions about your
week can only be considered under a collective agreement policies, with prompt and clear responses. Policies should
that is freely negotiated with a workers’ organisation encourage workers to report cases of concern within clause
representing a significant portion of the workforce. 6, including inability to refuse overtime or cases of unsafe
situations due to working long hours.
zz Clear separation between regular and overtime working
hours. For example, your policies might state when zz A statement that any agencies or business partners
overtime hours begin and end within various shifts. recruiting and managing workers on your behalf (such
as contract or agency workers) must follow all of your
zz A statement that all overtime is voluntary and agreed policies on working hours.
to by workers. Workers should not face penalties of any
kind for refusing overtime, including threats, intimidation
or loss of opportunity for other overtime work. The policy
should guarantee that all workers under the same skill band
or job category have the same chances to work overtime and
detail the process for workers to approve, accept or refuse
overtime work.

3
For peripatetic workers UK law now includes travelling time, which should be included in contracts and wages. For example, if a worker has to be at a pick-up
point and travels for an hour to his or her place of work and works there for 8 hours before being dropped back, that is 10 working hours.
4
Clause 6.5. See section 1.1.
BASE CODE GUIDANCE: WORKING HOURS 7

SAMPLE QUESTION ON OVERTIME LIMITS

Q. In Sri Lanka, legally permitted normal working hours for the garment industry is 45.5 hours and legally permitted overtime per
week is 14.5 hours. So far, as an ETI-compliant supplier, we are following the 12 hours overtime per week principle. That means a
total of 57.5 working hours. As per clause 6, can we go for 14.5 overtime hours per week (which would mean a total of 60 working
hours per week)?

A. Strictly speaking, increasing overtime hours to 14.5 would not contravene clause 6. However, the footnote to the clause
states: “International standards recommend the progressive reduction of normal hours of work, when appropriate, to 40 hours
per week, without any reduction in workers’ wages as hours are reduced”. It is also important to bear in mind that all overtime
shall be voluntary; overtime shall be used responsibly, taking into account the extent, frequency and hours worked by individual
workers and the workforce as a whole; overtime shall not be used to replace regular employment; and overtime shall always
be compensated at a premium rate. It is also vital that any proposed increase in overtime hours is discussed and agreed with
workers and their representatives.

As noted above, trade unions should be consulted from the start when drafting updated policies. In addition, you need
to support your suppliers in updating their policies in order to comply with the ETI Base Code. This could mean answering
questions, helping to interpret the wording of clause 6 and making sure they have resources (such as this Guidance document).

HOW DOES THE COMPANY ENSURE THAT 4 BREAKS AND REST DAYS 5
OVERTIME IS VOLUNTARY?
Laws and standards that regulate the provision of breaks
Overtime must be voluntary and workers must agree after every three or four hours of work exist for important
to work extra hours. Use the following methods to reasons. They are based on research indicating that
demonstrate that overtime is voluntary in practice: continuous work in excess of those hours contributes
to fatigue as well as a slowdown in brain and motor
zz Company policy clearly states that workers may skills. A 15 minute break allows workers to recharge their
sometimes be asked to work overtime but that they energy and produce better quality output. Pregnant and
can refuse without fear of penalty or harassment. breastfeeding women will need more rest time.
zz The company gives workers at least 24 hours notice
Laws that stipulate the provision of at least one rest day
when scheduling overtime. This also gives the business
a week and holiday leave recognise the importance of
time to make other arrangements in case some
a reasonable, work-life balance. This ensures that other
workers cannot do so (eg to find other workers who
aspects of a worker’s life – family, leisure and educational
can do the work).
and vocational pursuits – are fulfilled. Take into
zz Workers sign a consent form if they are willing to work consideration the additional unpaid domestic work that
overtime each time they are asked. women workers are usually expected to do and consider
how you can alleviate this – eg by providing a crèche or
zz Overtime arrangements have been negotiated with transport to/from work. These aspects contribute to the
the workforce and are described in a collective worker’s overall well-being and continuing development,
bargaining agreement. which benefits the company by reducing absenteeism and
tardiness, increasing worker productivity and improving
zz There is a grievance process in place that workers can the quality of outputs.
use to report violations of the working hours policy.

zz Employment contracts or agreements state that

overtime is voluntary and specify the overtime – up to
12 hours per week – that workers may be asked to work.

zz Where transport is provided, it should be available at

the end of the standard shift as well as the overtime shift.
BASE CODE GUIDANCE: WORKING HOURS 8

2.2 UPDATING PROCEDURES

Once written policies are updated, it is critical that you review and update procedures to make sure these are effective in
complying with clause 6. Either a person or a department, depending on the size and nature of your business, should be assigned
to make sure the policies are carried out in practice. Make sure there is a person or team assigned to work with your suppliers
and guide them through implementation.

Please see 3.2 for details of training on clause 6 available from ETI.

Much like written policies, it is likely that companies already implement many procedures for working hours, but you should
review them all while considering compliance with clause 6. For example, it is likely that you already provide your workers with
pay slips. However, in order to demonstrate you are meeting the requirements in the clause, you should make sure pay slips
clearly distinguish between regular and overtime working hours and also show overtime pay separately.

SAMPLE QUESTIONS ON BREAKS AND REST DAYS

Q. If there is an in-work rest break that is paid, and our

employees are requested to remain on site for the duration
of that break, is this still considered as working time?

A. A paid rest break would not count as working time, but if

a worker is required rather than ‘requested’ to stay on site, it
may be considered as working time. Clear records of working
hours and rest periods should be kept. Employers should also
check the requirements of national legislation, which may be
stronger than the Code in some cases.

Q. If a worker works from Tuesday to Sunday, and then Monday

– the day when the worker would normally not be working – is
a national holiday, would our company be in compliance with
clause 6 if we did not provide an extra day’s holiday?

A. As long as the worker has at least one day off in seven or two
days in 14 if allowed by national law, and if this is what was
agreed in the worker’s contract, your company would not be
contravening the working hours clause. However, if national
law stipulates that workers are entitled to national holidays
regardless of whether or not these fall on a day when the worker
would not normally be working, then public holidays should be
given in addition to the ETI standard.
BASE CODE GUIDANCE: WORKING HOURS 9

Make sure HR procedures cover:

SAMPLE QUESTION ON 12-HOUR SHIFTS
zz A work scheduling process that limits regular working
hours to 48 hours per week for all shifts, workers and staff, Q. Our shift pattern – introduced six years ago with full
limits overtime to within legal limits (or such that weekly consultation – involves two teams (when one is working, the
working hours do not exceed 60 hours per week) and other is off). They work 12-hour shifts 6 am–6 pm on four
ensures all workers are given at least one day of rest (that days one week and three the next, averaging 40 hours per
is, 24 consecutive hours) per seven days worked, or at week. We do not work much overtime but do have contract
least two days off per each 14-day period if this is legally staff to work up to 40 training hours per year, which takes
allowed. When scheduling work, bear in mind that women place on days off. In terms of pay rates, we use the Mondi
workers often have heavy additional domestic workloads Calculator, which values every hour of the week – eg 10
on top of the hours they work for your company or your am on a Sunday morning is worth more than 10 am on a
suppliers. Monday morning – and calculates one hourly rate for all
hours worked, including any overtime. Our rates of pay are
zz An overtime scheduling and approval process that consistently in the upper quartile of those paid in our sector.
makes sure workers either agree to or are free to refuse
any overtime offered. This may be specified in updated A. Your shift system complies with national law as it does
employment contracts or collective bargaining agreements not exceed 48 hours per week, working hours are defined
(if relevant). by contract and workers get at least one day off in each
seven-day period. In these respects it does not conflict
zz An accurate time recording system in which all workers
with the Base Code. However, areas you may need to
record their own working hours. This is important since it
consider further are:
creates transparency regarding hours worked. Make sure
that supervisors and security guards do not record hours
worked for employees. i) The voluntary nature of shifts: Best practice would be for
the system to be covered by a freely negotiated collective
zz A payroll system that provides workers with pay slips bargaining agreement with a workers’ organisation
indicating the number of regular and overtime hours representing a significant portion of the workforce that
worked for the pay period, plus any deductions or other includes an option for workers with family responsibilities
relevant items. to work a conventional working week (please refer to ETI
Base Code clause 7 on discrimination).
zz A process to make sure accurate records are kept of the
hours (both regular and overtime) that each employee
ii) Daily working hours: There is a duty in the Base Code
works.
and national law to provide a safe system of work, which
zz A process to change existing worker employment contracts must prevent excessively long work shifts or continuous
or agreements to match your policies on working hours working. In many countries, national laws contain
that meet clause 6 requirements. Remember that both provisions related to either maximum daily working hours,
existing contracts and those for new employees should minimum daily rest hours and rest days. Remember too
comply with clause 6. that ILO Convention No 1 (1921) calls for the adoption of
an 8- hour maximum day.
zz A process to negotiate with trade unions and work with
employees to make sure all are in agreement about the iii) Overtime payment: Please consider how workers can
changes. You may also have to re-negotiate collective check their overtime is correct when they are paid on a
agreements. single hourly rate as this must vary with the overtime
hours worked.
zz Worker input and feedback. Consult with the trade
union or, if there is no union active at the company,
gather worker input and reflect their feedback in your iv) Legislation: In the UK, every employee has the
implementation process. Ensure that information is statutory right to request flexible working after 26
gathered in such a way that women workers feel free to weeks employment service.
make their needs and concerns known – eg anonymous See: [Link]/[Link]?articleid=1616
surveys, women-only focus groups – especially in countries
where a patriarchal culture is the norm.

In addition, work closely with any suppliers to help them

revise procedures accordingly. Make sure they have access
to guidance and training materials and, importantly, answer
their questions promptly and clearly. Suppliers will need your
support through the implementation process.
BASE CODE GUIDANCE: WORKING HOURS 10

2.3. TRAINING AND COMMUNICATION

It is important that your policies and procedures are
disseminated among managers, supervisors and workers. You
should use a variety of communication methods so that all
employees understand how their responsibilities have changed.
Use the following methods to make sure your employees are
aware of policies and procedures on working hours:

zz Provide training programmes5 for existing managers,

supervisors and workers as well as for new managers and
supervisors and new employees on your company’s policies
and procedures on working hours and time off. This will
ensure that your procedures become a normal part of
day-to-day business.

zz Regularly retrain all employees – management, supervisors

and workers – on the procedures for assigning and refusing
overtime.

zz Ensure that your training and communication efforts are

suitable for women as well as men and cover all types
of workers (eg domestic migrants, foreign migrants,
apprentices, temporary workers, trainees, probationary
workers and so on).

zz Prominently display updated company policies, laws,

regulations, the ETI Base Code and employee rights on
working hours (in a language workers understand) and
include them in an employee handbook that is given to
each worker.

zz Work with trade unions or worker representatives to

coordinate communication efforts. Make sure the re-
negotiated collective agreement is communicated to
all employees.

You should also work closely with suppliers to ensure that

they implement clause 6 effectively. Use a combination of
the following methods to support them:

zz Make sure suppliers are clear on how to interpret the

wording. Point them to the interpretation document6 and
answer any questions they may have after reviewing it.

zz Alert suppliers to ETI guidance materials, such as this

document, as well as the training sessions provided.

zz Ensure suppliers have one or more contact persons

available to answer questions. Tell suppliers clearly that
you are available to support them.

zz Provide in-house briefings to suppliers. Doing this in

person is best.

zz Check in regularly on progress and help suppliers if they

are not on track.

5
Please see 3.2 below for details of training on clause 6 available from ETI.
6
This resource is available at: [Link]/resources/working-hours-eti-
base-code-guidance
BASE CODE GUIDANCE: WORKING HOURS 11

WORKING HOURS AND HOMEWORKERS 7

Homeworkers deserve equal treatment to other workers
and equivalent access to benefits even where these are
not required by national law. Benefits should be covered
in contracts, as for any other type of worker.

Homeworkers who are paid by the hour are entitled to

the limits on overtime and premium payments of clause
6. However, many homeworkers are paid by production
or piece rate. Their work may also be irregular, which
means that working hours vary widely. They may be
expected to work long hours with no overtime pay and
are unlikely to refuse if there is no guarantee of regular
work. This may not be visible to companies, especially
where work is distributed down sub-contract chains, so
it is important to make your position on homeworkers
and clause 6 clear to suppliers. Many homeworkers
are women living in cultures where speaking out for
themselves is discouraged. See ETI’s homeworker
guidance for ways to overcome this.

COMMUNICATING POLICY AND PROCEDURAL 6 zz Homeworkers should be paid piece rates that are
equivalent to or greater than the legal minimum wage
CHANGES or industry benchmark standards, whichever is the
highest, or the minimum wage for a factory worker
Communication is always more effective if you use doing the same task. For guidance on setting piece rates
multiple methods. In addition to regular training sessions, go to [Link]/in-action/programmes/
use some or all of the methods below to ensure your homeworkers-project/guidelines and scroll down to
message on working hours is received: ‘Additional guidance’.
zz Create summaries of key policy revisions and display zz Once an equitable piece rate has been agreed, this
them on notice boards. should be used to calculate how many hours work given
to homeworkers will take. Homeworkers should not be
zz Work with trade unions to communicate messages.
obliged to complete more work than can be done in the
zz Display reminders in workers’ accommodation if regular hours for your site.
provided.
zz Avoid giving unreasonable deadlines for orders. When
zz Hold meetings where workers can ask questions short deadlines are unavoidable, a premium can be
on changes. added to the piece rate, as defined for a factory worker
doing the same task.
zz Make sure communication is in a language that
workers understand, especially migrant workers zz Assess the capacity of homeworking contractors to
ensure that their pool of workers is large enough to
zz Verbally explain changes to workers who may not meet your order without demanding excessive hours.
be able to read. Remember that in some countries,
women’s literacy rates are much lower than men’s. zz Homeworkers should not be penalised if they refuse or
are unable to complete extra work.
zz Use team meetings and other forums to reinforce
key updates. zz Simple documentation (eg homeworker log books)
should be used to monitor work given to homeworkers;
zz Require recruitment agencies or any party managing these can be used to demonstrate that homeworkers’
HR on your behalf to communicate messages. hours of work are not excessive.
BASE CODE GUIDANCE: WORKING HOURS 12

2.4 IMPLEMENTATION IN PRACTICE

The best plans, policies and procedures will not eliminate the challenges in implementing clause 6. Overbooking, poor capacity
planning, unanticipated client demands, production mistakes, high absenteeism and a lack of flexibility in workers’ skills are
typical contributors to the need to work excessive overtime. Suggestions for managers to reduce the need for overtime and
comply with clause 6 include:

zz Set reasonable production targets and schedules based extra work, which often leads to the need for irresponsible
on realistic labour efficiency rates. Measures of worker overtime. Having multi-skilled workers who are
productivity form the basis for setting targets and competent in more than one operation allows more
schedules. If the efficiency rate is unreasonably set, the flexibility and efficiency in the production process,
timetable is naturally affected and workers will have to which in turn increases productivity. Ensure that women
work overtime to complete their targets. Make sure that workers have equal access to all training opportunities,
labour efficiency rates consider set-up time and allow including management training and skills for jobs that are
sufficient time for workers to eat, rest, stretch and go to traditionally considered “male” roles.
the toilet. Failure to consider these factors could result in
other, more serious conflicts with the ETI Base Code. zz Improve communication with supervisors and line
managers and between line managers and workers. It is
zz Closely coordinate HR plans and production targets. critical that you involve workers throughout the process.
Suppliers’ capacity planning should consider past client Reduce errors that could cause costly delays by holding
demands, the complexity of the production process and team meetings and giving clear instructions. Ensure there
workers’ skills and how these will affect your efforts to is no bullying or abuse (which may particularly be the case
implement clause 6. when the majority of workers are women and the majority
of supervisors are men). Pay special attention to feedback
zz Continually upgrade workers’ skills through training, from trade unions and worker representatives on your
mentoring and coaching. Having workers with skills that efforts to comply with clause 6.
match their jobs reduces the amount of unnecessary

Excess overtime may be a sign that companies need to improve human resources and industrial relations. Workers who are
treated with respect by supervisors, who have been properly trained and who are well paid will be more productive. Managing
working hours effectively cannot be done overnight, so make sure you think about all of the different ways you can meet your
implementation plans.

MANAGING PRODUCTION DEMAND FROM 8

DIVERSE CUSTOMERS

Your supplier probably has many customers, each with

different production and delivery requirements. They may
also have different social responsibility codes of conduct.

It is important that suppliers develop management

practices to avoid peaks, and negotiate achievable lead
times bearing in mind all orders. Suppliers should be
encouraged to communicate with customers and warn
them if they are creating demand peaks.
BASE CODE GUIDANCE: WORKING HOURS 13

2.5. DOCUMENTATION
You need to make sure your processes for meeting the
RISK CONTROL: MONITOR EXTERNAL AGENTS
9
requirements of clause 6 are well documented. This not
only helps track changes in practices but also ensures that
practices are transparent and accountable. A major source of risk for compliance to any social
requirement is when workers are employed by an external
recruitment agent. In many cases, these agents are
In order to keep working hours within the limits stipulated
responsible for HR functions among the workers they
in the Base Code, you must keep impartial, accurate and
recruit (such as recording hours and paying wages). Your
transparent records. These should show how many hours
company might use these agents to recruit temporary
(both regular and overtime) are being worked and how often
workers, for example.
and for how long workers are allowed to rest. Documentation
also serves as a means for identifying working hour trends
and highlighting problem areas responsible for excessive It is critical that you require agents to follow your
hours. It is also important to check that written records company’s policies and procedures on working hours.
match actual practice; under-recording working hours is the If during the busy season, 50% of your workforce is
most common way that unscrupulous employers get around temporary and you are only monitoring your own direct
payment of the legal minimum wage, for example. workers, you are ignoring half the workforce. You will also
want to monitor agency workers’ hours to ensure that the
combined hours they are working for you and for other
While companies will have different approaches to keeping
agency clients does not exceed ETI or legal limits.
time and payroll records, to comply with the requirements
in clause 6 the documents should always include:

zz Accurate records of hours worked for each employee, such

as workers’ pay slips and summary reports generated from
timekeeping and payroll systems.

zz Accurate reflection of regular and overtime hours worked

and the rates paid in the payroll register and on pay slips.

zz Clear separation between regular and overtime hours in

all working hours’ documentation. (See FAQs for further
guidance on consolidated hours)

zz Records of any complaints related to either inaccurate

recording of working hours or inaccurate wage payments
based on recorded hours (both regular and overtime).

zz Employment agreements (updated or issued to new

employees) that show regular hours expected, the process
for requesting workers to work overtime and what rates
will be paid.

zz If relevant, a collective bargaining agreement on working

hours.

Make sure documents are kept for all types of workers

(including temporary or seasonal) and for any agency
workers.

Employment agreements must include detailed information

regarding work hours/schedules and pay rates as well as
an express statement that overtime is strictly voluntary.
Workers’ signatures should be secured on the agreement.
A complete copy of any collective bargaining agreement
governing working hours and wages should be kept on file
to ensure cooperation and compliance.
BASE CODE GUIDANCE: WORKING HOURS 14

2.6. MONITORING IMPLEMENTATION AND IMPACT

You will need to monitor whether your policies on working zz Regularly review the compensation process to make sure
hours are being followed and that the processes are effective. that overtime hours are paid correctly.
Use the following steps to evaluate and improve the
effectiveness of your programmes: zz Perform random checks of the working hours listed on
workers’ pay slips against timekeeping system records to
zz Monitor trends and key performance indicators (KPIs) to make sure that hours are being properly recorded. Working
identify actual and potential problems relating to your hour totals are only as accurate as they are verifiable by
policies on working hours. This might include looking at documentation from at least three sources: personal time
total overall number of hours, including overtime, worked records, payroll registers and workers’ pay slips.
by individual workers and by groups of workers; regular
zz Encourage and obtain feedback from workers on problem
hours; overtime hours; and rest days.
areas. If there is a trade union at your company, this will be
zz Monitor and evaluate trends in recruitment, production an excellent source of feedback for you.
needs, working hours and other functions and data
to help you comply with the wording on regular and NB While audits may form a useful part of an overall
overtime hours. This will also help you plan overtime hours monitoring strategy, they should not be solely relied on to
accordingly to keep within ETI limits. tackle issues such as excessive working hours.
BASE CODE GUIDANCE: WORKING HOURS 15

SAMPLE QUESTIONS ON FLEXITIME AND PAY CAN WORKERS EXCEED 60 HOURS PER WEEK? 10
DEDUCTIONS FOR LATENESS
Generally, no. However, ETI clause 6.5 does make some
Q. My understanding is that there are core hours, times exceptions in cases where local law and collective
when you have to be there and flexible start/end times but agreements allow this practice. In addition, exceeding
that overall in a four-week period you must have worked 60 hours per week can only happen under exceptional
your total standard weekly hours – ie, 37.5 x 4. However, circumstances and when workers’ health and safety are
if you work more than 150 hours over four weeks, you can guaranteed. Note that ALL FOUR criteria in this sub-clause
take this time off rather than claim it as overtime. Is this must be applied before 60 hours can be exceeded.
correct?
The term ‘exceptional’ means just that – something has to
A. The ETI Code does not rule out the use of flexible happen that you cannot predict. If you have a peak season
or annualised hours, as long as all of the criteria set every year (eg right before December holidays or Chinese
out in clause 6 are met. However, if the contract New Year), this is not considered exceptional since it
states that workers are paid for 150 hours per 4 weeks, happens annually.
then everything above this is overtime and should be
compensated at a premium rate. Having time off in lieu is On the other hand, if a supplier’s customer doubles
not a premium. It is important that any flexitime system the typical order and needs delivery right away, this is
is agreed with the trade union. exceptional since you had no way to foresee it (which
is why it is important for sourcing companies to avoid
Q. If an employee is hourly paid and clocks in after their making changes at short notice like this). Other examples
start time, and is then not paid for the minutes or hours of exceptional circumstances include machine/plant
lost due to the lateness, is this considered a deduction breakdown and early harvesting. (See also 2.7 Responding
of earnings/ wages for the purposes of ETI? Our workers’ and investigating)
contracts state that they are paid from their contract start
time or time they clock in, whichever is later. For example, However, you will need to have agreed to this exception
if an employee is due to start work at 8.30 am but clocks in with your workforce in advance and even then only within
at 8.33 am, we pay them from 8.33 am. the maximum number of hours permitted by national or
local labour laws.
A. If this is covered by the worker’s contract and is
understood by the employee it is acceptable, as long as The rule is that you must always follow legal requirements,
you are not using a clocking in system that calculates pay or the revised ETI guidance if it is more stringent than
on 15-minute increments, as this would mean in this case local regulations.
the worker was doing unpaid work for 12 minutes. Also,
if they work an extra three minutes at the end of the
working day, then they have completed a full day and this
should also be understood by all parties as it may be used
in the calculation of overtime.
BASE CODE GUIDANCE: WORKING HOURS 16

2.7. RESPONDING AND INVESTIGATING

Investigate potential problems and concerns and analyse
why they occur. When a situation arises that indicates the
existence of a potential problem in complying with clause 6,
the company should investigate the root cause and what can
be done to address it.

For example, if you find that some workers did not get a day
off in every seven days or worked more than the legal limit
for overtime, find out why this happened – whether because
of unexpected circumstances such as a rush order or broken
equipment, or due to a larger problem such as high staff
turnover or unreasonable production quotas. If this is the
case, dig deeper and find out why these problems have arisen.
For example, the broken equipment may be so because of the
excessive hours it has been working without maintenance,
the rush order may have been delayed within the internal
system and not a last minute request etc. What changes
will need to be made by either the buyer or the supplier to
ensure that such problems do not recur?

If your company has multiple suppliers or a large supply

chain, it is important to collect data from across all
components of your business. Examine trends at various
levels – from overall across the company through to
individual suppliers or business units:

zz Look for particular suppliers or business units where hours

are excessive and that might need more help or training
than others.

zz Look for particular suppliers or business units that are

more successful in managing hours. This could help you
identify good practices for replication elsewhere.

zz Work with trade unions to find solutions for potential

problems. Workers themselves are among your best
resources for finding answers to problems as challenging
as managing working hours. Ensure that the voices of
women workers are being heard.

zz Look for trends, such as particular times of the year when

overtime is excessive, which could be used to help focus
resources and management efforts.

zz Compare data against multiple factors – such as geography,

particular production processes, seasonal production
spikes and reliance on seasonal or temporary workers.

The better and more comprehensive your data is, the better
you will be able to identify risk and the areas where more
efforts will be required to meet the requirements in clause 6.
BASE CODE GUIDANCE: WORKING HOURS

3 Additional resources
3.1. ONLINE RESOURCES 3.2. TRAINING RESOURCES
The following organisations, websites and documents provide ETI offers a half-day training programme on understanding
additional information on working hours: and implementing the ETI Base Code working hours clause.
This workshop provides the opportunity to gain further clarity
zz ETI website: [Link] on the wording, guidance and process of implementation
as well as to discuss any issues relating to supply chain
zz The ETI Base Code: [Link]/resources/key- implementation. Please see ETI’s website for further details:
eti-resources/eti-base-code [Link]/training/working-hours
zz ETI Interpretation Note on ETI Base Code Clause 6:
Working Hours (with particular focus on the revision of
the clause 6 wording in 2014): [Link]/
resources/working-hours-eti-base-code-guidance

zz ETI training [Link]/training/working-hours

zz International Labour Organization: International labour

standards on working time: [Link]/empent/areas/
business-helpdesk/WCMS_DOC_ENT_HLP_TIM_EN/lang--
en/[Link]

zz The Sedex Members Ethical Trade Audit (SMETA),

developed by the Associate Auditor Group of the Supplier
Ethical Data Exchange (Sedex), offers detailed guidance
on auditing. It incorporates best practice guidance on
conducting ethical trade audits; instructions on the items
to be checked by auditors; a common audit report format;
and a common corrective action plan format. For more
information, see: [Link]/ethical-audits/smeta/

zz Verité: [Link]

zz For Workers’ Benefit – Solving Overtime Problems in

Chinese Factories: [Link]/sites/default/files/
Chinese_Overtime_White_Paper.pdf
BASE CODE GUIDANCE: WORKING HOURS 18

ANNEX I. FAQS

1. What are the maximum contracted or required hours under the ETI Base Code?
Normally 48 hours per week, unless a lower figure is set by national law or a collective agreement. Where “averaging” is
allowed, the average required hours should not exceed 48 and the total should not exceed 60 hours per week unless all of
the following conditions are met: (i) it is allowed by national law, (ii) it is covered by a collective agreement, (iii) appropriate
safeguards are in place and (iv) there are exceptional circumstance (as per sub-clause 6.5)

2. What does “averaging” mean in the context of UK law?

UK Working Time Regulations allow the legal maximum limit of 48 hours per week to be exceeded in any one week as long as
the average number of hours over 17 weeks (the reference period) does not exceed 48 hours per week.

3. Which standard should be applied if the ETI 60-hour limit on weekly working hours is stricter than country law?
The Code should apply. The 60-hour limit includes all overtime, which must be voluntary and only exceeded if four specific
conditions are met (see question 1).

4. What is considered to be a “significant portion of the workforce”?

It depends on the circumstances. Where national law on collective agreements provides for derogation from working time
rules (eg Regulation 23 of the Working Time Regulations 1998 in the UK), this should be followed. If there is no relevant rule,
this provision aims to ensure that agreements with organisations representing small numbers of workers do not remove
protections from the whole workforce.

5. Can the 60-hour weekly working hour limit be exceeded in seasonal work?
No. Seasonal work is not considered to be an exceptional circumstance as that the work, while irregular, is predictable.

6. Can a worker work more than 60 hours per week by averaging the hours worked over a period of time?
The Code is very clear that a worker cannot exceed 60 hours in any one week unless four specific conditions are met
(see question 1). This is an absolute weekly, hourly limit.

7. How can the company ensure that overtime is voluntary?

The employer should clearly communicate that workers are free to refuse overtime – and there will be no negative
repercussions if they do. Employers must ensure that: doors or gates are unlocked to allow workers to leave freely (and
any transportation provided is available at the end of the normal work day); daily production targets are achievable within
standard working hours; overtime requests are not always directed at the same workers; workers are given sufficient notice
of overtime so alternative arrangements can be made if they do not agree; and workers’ agreement to perform overtime is
documented.

8. If workers have signed a 48-hour week opt-out agreement in the UK, can any overtime they do be considered voluntary?
In the UK, workers over the age of 18 can choose to opt out of the 48-hour limit. This agreement must be made voluntarily in
writing and can be cancelled with at least seven days’ notice. However, signing the opt-out clause does not prevent workers
from refusing to work for more than 48 hours per week as overtime must be voluntary. In addition, the Code takes precedent
over opt-out agreements, workers should not work more than 60 hours in any week unless four specific conditions are met
(see question 1) and a premium must be paid for any overtime.

9. When are part-time workers or workers with flexible hours contracts entitled to overtime premium payments?
Workers’ contracts, collective agreements and national law will state when overtime payment starts. In some situations,
part-time workers only get overtime premiums once they have worked more than the normal full-time hours for comparable
workers. If this is the case, it should be clearly stated in writing when they start work.

10. Are workers allowed to work more than seven days without a rest day?
This depends on the law. The Code states that, if the law allows for workers not to have a rest day in each seven-day period,
they must have two full days off in every 14-day period.
BASE CODE GUIDANCE: WORKING HOURS 19

11. Are there limits on daily working?

The Code does not specifically regulate the number of hours, but a safe system of work precludes excessively long work shifts
or continuous working due to health and safety risks. In many countries, national law will contain provisions related to either
maximum daily working hours or minimum daily rest hours and rest days. ILO Convention No 1 (1921) called for the adoption
of an 8-hour maximum day.

12. Who is responsible for paying overtime premiums to agency workers in the UK?
If workers are employed by an agency that contracts their services to a company, the agency is responsible. However,
companies must ensure that the Code is respected in relation to all workers, direct or indirect (agency workers), and should
assess whether the fees they pay to the agency are sufficient to allow for overtime premium payments. If the agency merely
finds the workers, and the client employs them, the client is responsible.

13. Is it a problem if overtime is systematically requested of the same workers?

Potentially, yes. For example, in certain facilities, employers may offer overtime exclusively to migrant workers as there is
a perception that they need less leisure time than local workers. However, local workers may perceive this as discriminatory
because it prevents them from working overtime and earning more money – although workers should not have to resort
to working overtime to earn enough to meet their basic living costs (see ETI’s Base Code clause on Living Wages). Similarly,
overtime should not be preferentially offered to workers who have previously been willing to work overtime as this may
suggest a compulsion to work overtime in order to get a future opportunity to do so.  

14. Clause 6.2 has a footnote reference to the ILO’s 40 hours per week recommendation: would an ETI member
be expected to ensure that their suppliers were actively reducing working hours to 40 per week?
No, although they might wish to encourage this and give preference to suppliers who have, for example, negotiated a shorter
working week with their workforce. The international standards that underpin the Base Code establish 48 hours as the
maximum length of the normal working week but also recognise the importance, in terms of workers’ health and well-being,
of moving to a shorter working week, over time and as appropriate and achievable in the national context.

15. Will ethical audits be expected to cover this footnote?

No, this footnote is a recommendation rather than a requirement. However, the length of the normal working week should
be recorded as part of any audit, and it would be expected that employers explore options for continuous improvement that
work towards achieving this. Employers are encouraged to discuss opportunities for reducing the working week with their
employees as part of normal negotiations over conditions, and with the ETI member companies they supply.

16. If consolidated rates of pay have been agreed including a higher standard rate and lower overtime premium,
does this comply with clause 6?
No. The existence of consolidated rates that include overtime hours assumes that overtime will take place, which runs
against the principle of voluntary working and is therefore contrary to the ETI Base Code. Employers should clearly define
the base rate and the overtime premium that is payable on that rate and should communicate this to workers, making it
clear that the worker may choose not to work additional hours. If the latter is not the case and if it cannot be the case,
then the ETI Base Code has been breached irrespective of any enhanced pay.

17. Why is the overtime premium rate of 125% a recommendation rather than a strict minimum?
The Base Code recommends that overtime be paid at a rate of not less than 125% of the standard rate. This is a
recommendation rather than a strict minimum because we recognise that some companies may have a valid reason for
paying less than 125%. For example, their standard rate may be higher than the prevailing rate. When overtime premium
payments of below 125% are observed, there should be a conversation between the customer and the supplier to find out
why the particular rate is being paid. The two parties can then decide whether this is reasonable and whether corrective
action is needed. Bear in mind that this may involve changes to the brand/retailer’s own purchasing and other business
practices as much as the supplier’s HR practices.
BASE CODE GUIDANCE: WORKING HOURS 20

ANNEX II. SOME COMMON WORKING HOURS PROBLEMS AND SUGGESTED CONTROLS

Examples of non-compliance
with ETI Base Code clause 6 Suggested company controls

Ensure policies on overtime indicate the start and end of

WORKING HOURS (REGULAR AND regular working hours and follow limitations set by the law
OVERTIME) EXCEED LEGAL OR ETI LIMITS and ETI, whichever is stricter.

This could mean: Establish a mechanism for overtime approval that requires
zz Regular hours exceed 48 in a week. sign-off for hours in excess of the code limits under
exceptional circumstances.
zz Overtime limits exceed legal requirements.
zz Workers work more than 60 total hours per week. Ensure that all managers, supervisors, staff and workers are
aware of company policies related to hours and overtime.
Clause 6 wording reminder:
6.1 Working hours must comply with national laws, collective Answer questions from workers, as well as other stakeholders,
agreements and the provisions of 6.2 to 6.6 below, whichever affords regarding hours and overtime policies.
the greater protection for workers.
6.2 Working hours, excluding overtime, shall be defined by contract and Monitor and evaluate trends and practices related to clause
shall not exceed 48 hours per week. 6 implementation and take measures to ensure that all laws
6.5 Working hours may exceed 60 hours in any seven-day period only in
and policies are being followed at all times.
exceptional circumstances and when certain conditions are met.
Indicate specified hours of work in the employment
agreements of all types of workers (ie, domestic workers,
foreign contract workers, temporary workers, apprentices,
trainees, probationary workers and so on).

Communicate policies on work hours to all employees by

displaying them in prominent locations, uploading them on
the company intranet and including them in the employee
handbook that is distributed to workers.

Have national laws and regulations on working hours,

including government limitations on overtime, easily
available to workers in a language they understand.
BASE CODE GUIDANCE: WORKING HOURS 21

Ensure your policy on overtime expressly states that this is,

OVERTIME IS INVOLUNTARY at all times, voluntary and that no penalties will be imposed
on workers for refusing overtime.
This could mean:
zz Workers cannot refuse overtime work. Make sure the policy includes a provision on equal
opportunity for overtime among all types of workers.
zz Workers must work overtime until production
quotas are met. Communicate the company’s policy that overtime is
zz Workers must work extra time for disciplinary voluntary to all new and existing workers.
reasons.
Make sure there is a way for workers to report cases of
zz There is no transport available for workers who are
involuntary overtime to management.
not working overtime.
zz Workers are not paid enough to meet their living Make sure any production quotas are reasonable and workers
costs within a standard working week. can finish them within legal and ETI working hours limits.
Clause 6 wording reminder: Ensure transport, where provided, is available at the end of
6.3 All overtime shall be voluntary. Overtime shall be used responsibly, the standard shift as well as the overtime shift.
taking into account all the following: the extent, frequency and hours
worked by individual workers and the workforce as a whole. It shall not Ensure workers are paid enough to meet their living costs
be used to replace regular employment. without having to work overtime (see ETI guidance on living
wages: [Link]/in-action/issues/living-wage)

Establish a policy stating workers are to be provided with all

LEGALLY REQUIRED BREAKS ARE legally required breaks.
CURTAILED OR NOT PROVIDED
Communicate the company’s policy on breaks at work to all
This could mean: new and existing workers. This should include a policy on
zz Breaks are shorter than the legal minimum sufficient rest breaks for pregnant women.
entitlement. Review production quotas, targets or other productivity
zz Workers work through breaks to meet targets. requirements to make sure these can be achieved within ETI
working hour limits.
Note: Provision of breaks at work is almost always
required by law and necessary in order to meet clause 6 Communicate to supervisors that practices such as working
requirements. through breaks or other designated rest times is not permitted.
BASE CODE GUIDANCE: WORKING HOURS 22

Examples of non-compliance
with ETI Base Code clause 6 Suggested company controls

Ensure company policy states that all workers receive at least

ONE DAY OFF IN SEVEN IS CURTAILED one day off per week or, if legally permitted, at least two days
OR NOT PROVIDED off in every 14-day period.

This might mean: Inform all workers (new and existing) of the company’s policy
on rest days.
zz Workers work on weekends.
zz Workers are asked to give up their days off in order Monitor and track all departments, paying special attention
to meet quotas. to areas of greatest risk, to make sure your updated policy is
followed.
Clause 6 wording reminder:
Communicate to different departments and supervisors that
6.6 Workers shall be provided with at least one day off in every seven
day period or, where allowed by national law, two days off in every
working on designated rest days is not permitted.
14-day period.

Commit to eliminating discriminatory practices. Practice

UNEQUAL ACCESS TO OVERTIME fairness and provide equal opportunity for all workers.
This might mean: Embed this policy into the production planning system and
zz Permanent workers receive overtime while the company’s wage/salary administration system. Ensure
temporary workers do not. that women are paid equally to men for work of equal value.
zz Workers who refuse overtime are denied future Ensure that overtime work assignments are based on
opportunities for overtime. production needs and on clear agreement with the employee
Note: unequal access to overtime could lead to working overtime.
other contraventions of the ETI Base Code, such as Ensure that any barriers to women volunteering for overtime
discrimination. are removed, eg by providing childcare and safe night- time
transport.

Implement an effective and transparent time recording system.

NO RECORD OR INACCURATE RECORD
OF WORKING HOURS Maintain accurate and transparent records of regular and
overtime working hours for each employee.
This might mean:
Make sure regular and overtime hours are clearly distinguished
zz Overtime hours show up as regular work hours. in all documentation related to working hours.
zz Manual records are poorly entered into a computer
system. Liaise on a regular basis with staff handling wages and benefits
zz The time clock is broken. to ensure that all hours worked are paid in full and on time.
zz Workers are not clocking in and out themselves. Communicate the company’s policy on keeping accurate
zz There are systematic errors in recording systems. records of all work hours to all new and existing workers.

Note: You must record working hours (regular and Implement practices that ensure workers personally record
overtime) accurately in order to make sure you are their hours (supervisors and security guards should not be
meeting the ETI Base Code requirements. recording workers’ hours).

Ensure accurate recording of actual regular and overtime hours

worked in the payroll register and on pay slips.
BASE CODE GUIDANCE: WORKING HOURS

ANNEXE III - CLAUSE 6 AND CHINESE LAW 7

There are many instances of reported long working hours in China, which are in breach of not only the ETI Base Code but also
national law. Chinese law, in fact, is often stricter than the Code and, wherever this is the case, should take precedence.8 The
two main systems for determining hours of work in the manufacturing industry are: (1) basic hours – normal working time plus
any overtime hours or flexible/ irregular hours not considered to be overtime; and (2) irregular hours – the consolidated working
hours system and other variable working time patterns where daily and weekly working time can vary widely (these require
government approval).

Key points:

zz Normal working time is 8 hours per day and 40 hours per zz Each enterprise using a variable or consolidated hours
week. Although the 1994 Labour Code provides for a 44- system must submit a consolidated hours or other
hour maximum work week (Article 36), Regulation 97896 appropriate variable hours plan for approval by local or
subsequently lowered this to 40 hours per week. national labour authorities. The plans will include details
related to maximum daily and weekly, quarterly, half-
zz The maximum weekly working hours allowed under the yearly and yearly hours.
basic working hours system (58) is less than the 60 hours
provided for under the Base Code. zz In all cases, the average daily and weekly working hours
calculated according to the government-approved plan
zz China’s consolidated working hours system allows for must amount to “basically” 8 hours per day and 40 hours
derogation from the basic hours of work system for certain per week.
workers: “(1) Employees in the transport, railway, PTT,
maritime, aviation, and fishing industries … (2) Employees zz Hours worked under the consolidated working hours
in such industries as geological and resource exploration, scheme are usually considered overtime, to be paid at a
construction … sugar production and tourism whose work premium rate, not less than 150%. Such hours should not
is regulated by seasonal and natural conditions …[and] (3) exceed 36 hours per month.
Other employees who are more suited to the system of
consolidated hours of work.” zz Depending on the applicable state regulation, some
workers under other irregular working patterns will not be
entitled to the opportunity to work overtime.

7
More on this topic can be found at [Link]/sites/default/files/resources/china_working_hours_briefing.pdf
8
Rules on working hours are set by the Labour Law and the Regulations of the State Council on the Hours of Work of Employees (Regulation 97896 (1995)).
BASE CODE GUIDANCE: WORKING HOURS 24

DECISION TREE: 60+ HOUR WORKING WEEKS IN CHINA

In situations where a worker is being asked to work more than 60 hours in a 7-day period:

Are average hours within the scope of exception set

out in the government approved plan? NO

YES

Is the 60+ workweek provided for in a plan approved

by labour authorities under China’s Consolidated
Working Hours Scheme?

YES NO Is the work being carried out in response

to an accident or emergency?

Are all of the following ETI Base Code conditions met?

1. The 60+ hour workweek is set out in a collective

agreement freely negotiated with a workers’
organisation
YES NO
2. appropriate safeguards are taken to protect health
and safety

3. employer can demonstrate that exceptional

circumstances apply

Breach of Chinese law

NO Breach of ETI Base Code Clause 6

YES Compliant with Chinese law and ETI Base Code Clause 6
BASE CODE GUIDANCE: WORKING HOURS

The Ethical Trading Initiative (ETI) is a leading alliance of companies,

trade unions and NGOs that promotes respect for workers’ rights
around the globe. Our vision is a world where all workers are free from
exploitation and discrimination, and enjoy conditions of freedom,
security and equity.

Ethical Trading Initiative +44 (0)20 7841 4350

8 Coldbath Square London eti@[Link]
EC1R 5HL @ethicaltrade
UK [Link]