Why is this important?
The annualization of working hours allows great flexibility in adapting employee schedules to changing business needs. Understanding this modulation helps optimize human resources management and ensure an equitable distribution of working time throughout the year.
What is annualization?
Definition
Annualization is a type of working time modulation that enables schedules to be adapted to the company's activity. By calculating working hours over the course of a year, this system makes it possible to respond to variations in activity by spreading working hours over several months.
Advantages :
Distribution of work during periods of high and low activity.
Compensation for hours worked above or below contractual hours from one week to the next.
Flexibility in arranging employee schedules.
Important: Annualization of working hours is generally provided for in a company agreement, or can be introduced on a temporary basis under certain conditions.
How to calculate the annual balance?
Calculating annual hours worked
Annual base for a 35-hour employee :
Number of days worked :
365 days - (52 x 2 weekly rest days) - 25 days paid time off - 8 holidays = 228 days.
Number of hours worked :
7h x 228 days = 1596h (rounded to 1600 hours).
Add 7 hours for the solidarity day.
Total: 1607 hours per year.
Annual basis for an employee at 39h :
Number of hours worked :
7h x 228 days + 4h x 52 weeks = 1787 hours per year.
How to calculate effective working time?
Effective working time for a 35-hour employee:
Number of days actually worked :
365 days - 104 days of weekly rest = 261 days.
Number of effective working hours:
261 days x 7h = 1827 hours.
A full-time employee must be scheduled for 1827 hours over the year to reach the annual base.
What impact do absences have on the annual balance?
Absences compensated by the employer or a third party are considered as actual working hours when calculating the balance of hours worked. Although compensated, these hours will not be made up as working hours (e.g. sick leave).
The list of compensated absences is available in Establishment settings > Absences tab.
How do I activate and track annualized working hours on Skello?
To find out how to activate and track the annualization of working hours on Skello, see these articles: