India ministry uses biometric clocks to cut down on overtime pay

To cut down on overtime pay, the Finance Ministry in New Delhi, India, installed a biometric timeclock. Since the department implemented the payroll solution, the ministry has managed to cut its overtime pay out by 25 percent.

The new employee-attendance system also help the ministry monitor employees more accurately. As a result, the department was able to reduce the occurrence of employees and officials coming in late to the office, leaving early and taking unauthorized breaks in between, according to the Times of India. Before the ministry installed the new system, employees used an attendance register to sign in and out by hand, reports the source, which lead to payroll errors.

Biometric timeclocks make it impossible for employees to adjust their punches in and out of work. To clock in for a shift, workers place their finger on the device's reader. It scans the fingerprint and matches it with a database to clock and employee into work. Some employers install the technology to reduce the opportunity for buddy punching, which is when an employee falsely clocks in another co-worker to boost records of hours worked.

Employers who are facing budgetary concerns due to overtime wages could install a biometric timeclock to better enforce payroll policies.