Labor & Compliance Company Settings

Updated September 26, 2024 16:32

Configure labor and overtime settings in 7shifts, ensuring your business remains compliant with local labor laws. By setting up these rules, Admins and Managers can track and prevent overtime issues, making it easier to manage labor costs and adhere to regional labor requirements specific to the restaurant industry.

In this article, you'll get an overview of each section on the page, and find resources for more advancd settings (overtime, and compliance).

Prerequisites

⚠️ Only Admins can access and update Company Settings. Be sure to hit Save to complete any changes.

Access Labor & Compliance Company Settings

Log in to the web app as an Admin.
In the left navigation bar, head to Settings > (or, click on your profile photo) Company Settings.
Select the Labor & Compliance tab:

Labor & Compliance Overview

Jurisdiction

Set the applicable region to ensure all labor rules align with local labor regulations. Once the jurisdiction is selected, all settings—such as overtime rules and minimum wage—will automatically update to reflect the selected region’s laws.

Overtime

Manage labor costs by ensuring that employees are paid correctly when they work beyond standard hours. These settings also enable automatic calculation of labor costs for shifts that exceed daily, weekly, or consecutive day thresholds. Configure overtime alerts and multiple pay rates.

Learn more about Overtime settings.

Regular and Custom Breaks

Breaks play an important role in calculating labor costs and ensuring accurate scheduling. In 7shifts, you can configure two main types if breaks: Auto-break and Custom Breaks.

⚠️ If Auto-break is enabled, the auto-break feature will automatically deduct break times from employees' scheduled shifts on the Schedules page. This is purely for forecasting purposes—it will not affect their actual punch times or determine when they should take breaks. Employees will still need to clock out manually for breaks to reflect accurately in their time punches.

The Auto-Break feature allows you to automatically deduct break times from shifts to adjust labor costs and hours in your budget. It's important to note that Auto-Breaks will only affect the labor cost calculations—they do not impact the actual hours logged by employees. This setting will be overwritten if a break is manually added to a shift in the schedule.
Custom Breaks add predefined breaks to shifts on the schedule. These breaks can be tailored to your company's policies, such as creating a "Coffee Break" or "Meal Break" that employees can use during their shifts.

Wages & Pay

Manage wage-based roles and configure tip credit calculations. This is especially useful for businesses that employ both tipped and non-tipped staff.

Learn more about Wage-based roles.

Learn more about Tip Credit Calculations & Tipped Roles.

Advanced Labor

Go deeper into compliance and labor tracking. For example, some features include:

Compliance Fees: Track labor compliance fees that affect your labor reports.
Spread of Hours: Set up spread of hours pay for employees who work multiple shifts within a day.
Fair Workweek NYC: Automatically apply overtime pay for shifts that violate NYC’s Fair Workweek laws.
NYC Call-in Pay: Ensure employees are compensated according to New York City regulations when called into work with short notice.

For more details, check out our dedicated guides on Advanced Labor Compliance.

7shifts 101: Company Settings
Advanced Labor Compliance