Common use of Overhead Clause in Contracts

Overhead. For overhead departments (as defined below), NMC will monitor productive hours per week or pay period. Each department at NMC will have a productivity target (hours per week/pay period) set by the NMC CEO. It is the department managers’ responsibility to regularly monitor their departments productivity to ensure the department is meeting their per statistic (for direct patient care departments), per week or per pay period target. In the event a department exceeds the productivity threshold set by the CEO, the department manager will call off staff to meet the target threshold. Prior to making this determination, the department manager will review the productive hours (to include all employees, including management) to determine if they have met their target. Time not counted towards productive hours include: vacation, compensatory time off, or sick leave (if taken prior to a call off). For purposes of determining productivity, productive hours include but are not limited to the following: training, orientation, workers compensation (light duty worked hours), temporary employees, and registry.