Revolving loan(Revolving Credit) is an automatically renewable (from the Latin Revolve - to apply) loan, which is widely used in world practice in . A revolving loan is provided without additional negotiations between the borrower and the bank, if the loan amount does not exceed the established repayment period. In this respect, a revolving loan is similar to lending based on, although there are significant differences.
A revolving loan is one of the types provided for a certain period, during which both a phased “drawdown” of loan funds and a phased partial or full repayment of obligations under it are permitted. Funds contributed to pay off obligations can be borrowed again during the period of validity of the loan agreement (within the established credit limit). Payment of the remaining outstanding principal amount and remaining interest thereon is made upon expiration of the loan agreement.
Revolving loan - provided automatically on national and world markets to customers within the established credit limit and repayment period until cancellation. It is carried out mainly in the presence of a stable, strong relationship between the bank and the client or a sufficiently solid guarantee.
Parties to a revolving credit agreement may include governments, international organizations, groups of banks, enterprises and individuals. A revolving loan is provided, as a rule, to borrowers who have an ongoing relationship with the bank, a high-quality loan, or under reliable guarantees.
The agreement on the provision of a revolving loan determines the size and conditions of the loan, the rights and obligations of the subjects of credit relations, the currency of the loan and the procedure for its provision, the form and terms of repayment, as well as the interest rate.
A revolving loan is drawn up in the same way as opening a line of credit and means the bank’s obligation to provide the borrower with a loan within a certain period within the limit established by the agreement and involves its renewal after repayment of the debt.
The main advantages of a revolving loan:
- reducing time wasted on additional negotiations and paperwork;
- creating long-term and promising relationships between the bank and the client (which turns them from potential into real partners);
- providing the borrower with the opportunity to carry out activities in the real sector of the economy (using a revolving loan, you can pay for a series of commodity deliveries or provide services within the framework of a large contract implemented over a long period).
A bank client uses a revolving loan on a current account in the event of a lack of own funds, without warning the bank and without filling out additional documents for the loan. The loan is issued in the amount of 4-6 monthly regular income. The provision of a loan on a current account is not limited in time, and no specific deadlines are set for its repayment.
Typically, a revolving loan is provided without collateral. All data on the use of the loan on the current account (amount and terms of provision, level of interest rate and amount of funds to repay the loan, the size of the unused limit, etc.) are reflected in the report on the flow of funds on the client’s account.
An example of a revolving loan can be loans on and under a single active-passive current account in the form, some types of credit lines. A bank client, in the event of a lack of own funds, can use a revolving loan without warning the bank and without completing additional documents, but within the lending limit specified in the agreement.
A bank client who owns a credit card can freely use a loan within the credit limit (without documenting each loan). Repayment of the loan “restores” the free credit limit to the previous level, so that the client can use the revolving loan automatically at the time the need for borrowed funds arises throughout the entire term of the credit card. Abroad, this form of lending is common when issuing loans to individual borrowers for short periods. To meet the needs of clients in using loan funds from current accounts, foreign banks offer some modifications. For example, in Germany, a loan is used on a current account secured by the client’s savings deposit or his securities portfolio. In the UK they use the so-called “credit zone” - credit insurance, etc.
The revolving loan is repaid as funds arrive in the client's account. Repayment of debt restores the free credit limit and automatically continues the right to use the revolving loan.
Labor relations, as is known, are regulated by the norms of the Labor Code. Among the main terms of the contract between the employer and the employee is established work schedule. Chart type depends on the specifics of work activity.
General classification
There are the following types of work schedules according to the Labor Code of the Russian Federation:
- Regular (single shift).
- Irregular day.
- Flexible schedule.
- Shift work.
- Shift method.
- Fragmented workday.
Normal mode
He is considered main type of work schedule. The normal mode depends on the employee time tracking system installed at the enterprise. That is, they distinguish work schedules by type of time:
- Daily.
- Weekly.
- With summarized time accounting.
Characteristics
An enterprise can install one of the following types of work schedules according to the Labor Code of the Russian Federation:
- Daily 5-day work with 2 days off.
- Daily six-day work with 1 day off.
- Working week with days off on a rotating schedule.
These regimes are provided for in Article 100 of the Labor Code. In Art. 104 of the Code provides for the possibility of applying summarized time tracking at an enterprise.
In practice, daily shifts are called single shifts.
Summarized accounting
It involves taking into account a longer period than a day or a week. Such a system provides more than just time measurement. Summary accounting is considered a specific form of organizing labor activity. The minimum duration of work is a month, the maximum is a year.
The essence of accounting is that the duration of work during the day for a period on average is equal to the norm. Such a system is provided for at enterprises where, due to the specific nature of their activities, other types of work schedules(eg daily or weekly) cannot be set. At the same time, the duration of time for performing professional tasks should not exceed the standard for the accounting period.
Summarized accounting can be weekly, quarterly, annual, monthly. This is often used type of schedule in construction work organized on a rotational basis at transport enterprises.
The maximum duration of a shift with such time accounting is not limited by law. In practice, it ranges from 8 to 12 hours.
Irregular mode
This system of organizing labor activity provides for the employer’s ability to periodically involve employees in performing duties outside the normal working hours. The list of relevant positions is fixed by a collective agreement or internal regulations of the enterprise.
The peculiarity of this type of work schedules is that the employee is subject to the general regime established in the organization, but at the request of the manager may be delayed to perform duties beyond the shift. A citizen can also be called to the enterprise before the start of his shift.
Important point
It is necessary to take into account that with an irregular schedule, employees can only be involved in the performance of those duties that are specified in the employment contract. This means that the employer cannot oblige the employee to perform other work, including outside the normal working hours.
Article 60 of the Labor Code expressly prohibits requiring an employee to perform duties that are not specified in the contract.
Job categories
As mentioned above, not all employees can be subject to unregulated employee work schedule. Kinds positions may be provided not only in a collective agreement or work regulations, but also in industry, regional and other regulatory documents.
An irregular schedule may apply to persons:
- Technical, administrative, economic, management personnel.
- The labor activity of which cannot be taken into account in time.
- Distributing their working time at their own discretion.
- The schedule of which is divided into parts of indefinite duration.
Duties of the parties
It must be said that when applying the provisions of Article 101 of the Labor Code, the employer does not have to obtain consent from either the employee or the trade union to engage in work beyond the standard duration. This right is initially stipulated in the employment contract.
The employee, in turn, cannot refuse to perform his duties on an irregular schedule. Otherwise, his actions will be regarded as a gross disciplinary offense.
The establishment of an irregular regime, however, does not mean that employees will not be subject to the provisions of the Labor Code on norms of rest and work time. In this regard, their involvement in work activities beyond the shift duration determined for them can only be carried out sporadically.
Additional leave
Due to the fact that with an irregular schedule, certain overtime occurs in excess of the standard length of the day, the Labor Code, as some compensation, establishes the possibility of employees receiving additional leave. Its duration is determined in the collective agreement or rules of procedure. Leave is paid and provided annually.
If such a vacation period was not provided, with the written consent of the employee, overtime is counted as overtime.
The conditions and rules for providing paid additional leave for employees of organizations financed by federal, regional, and local budgets are established by the Government, authorities of constituent entities or territorial self-government, respectively.
Sliding work schedule
This type of work mode was introduced in the 1980s. At first it was applied to women with dependent young children. Over time, this system spread to other workers.
Flexible mode - type of work schedule, in which individual employees or department teams are allowed to independently regulate the start, end and total duration of a shift. In this case, it is necessary to fully work out the total number of hours established by law for a specific accounting period.
The key feature of flexible mode is that it type of work schedules are established by the employer and the employee by agreement not only when hiring, but also in the process of carrying out activities. However, it can be set for a specific period or determined without specifying a period. The agreement reached between the parties is confirmed by an order.
Features of application
A flexible mode is used when others are inappropriate or ineffective due to various reasons (domestic, social, etc.). Often it allows for more coordinated team activities.
However, the use of flexible mode is inappropriate for continuous production and shift work schedules (their types can be installed in both discontinuous and continuous production), if there are no free places at the shift junctions.
The flexible mode can be used in both five- and six-day weeks, as well as in other modes. At the same time, the conditions for rationing and payment of wages do not change. The conditions for providing benefits, accrual of length of service, and other rights are also preserved. It must be said that the registration of work books is carried out without mentioning the mode of labor activity.
Components of a flexible schedule
To use this mode you must install:
- Periods at the beginning and end of the day within which an employee can begin and end work at his own discretion.
- A fixed period during which an employee must be at work. In terms of its duration and significance, this part of the day is considered the main one.
A fixed period allows for the normal flow of the production process and service interactions. In this case, as a rule, the enterprise sets a break for food and rest. He usually divides his working time into 2 approximately equal parts.
The specific duration of flexible schedule elements is determined by the enterprise.
Working hours
The types of sliding work schedules vary depending on the established accounting period in the organization, the time characteristics of the elements of the regime, and the conditions of their use in a particular department.
The maximum permissible length of the day (with a 40-hour week) does not exceed 10 hours. In some cases it can be within 12 hours.
Prerequisites
To apply a flexible mode, the enterprise must establish a clear system for recording the time worked by employees and their completion of production tasks. In addition, control over the most complete and rational use of time by each employee in both fixed and flexible periods must be ensured.
It should be noted that the use of this regime is regulated by several regulations. For example, the Order of the Ministry of Communications approved a list of employees for whom a flexible schedule may be provided.
Shift mode
It involves working in 2, 3, 4 shifts during the day. For example, an enterprise may have three 8-hour shifts. In this case, employees perform production tasks in different shifts over a certain period of time (a month, for example).
Such a schedule is introduced at the enterprise if the duration of the production cycle exceeds the norm for the duration of daily work. The purpose of the shift mode is to increase the efficiency of use of equipment, volume of products, and services.
When using such a schedule, each team of workers must complete production tasks during the established shift duration. For example, staff work 8 hours in a five-day week. The schedule determines the order in which an employee moves from one shift to the next. It can either be drawn up as a separate local document or act as an annex to the main agreement.
The shift schedule must reflect the requirements of Article 110 of the Labor Code on providing staff with continuous weekly rest of at least 42 hours. Inter-shift (daily rest) must be no less than double in the shift preceding the rest. The law does not allow working two shifts in a row.
Employees must be familiar with the schedules for 1 month. before their implementation. Failure to comply with this requirement is regarded as a violation of the right of workers to timely information about changes in their working conditions.
The shift schedule can be day, night, or evening. A shift in which at least 50% of the time is spent at night is considered a night shift.
Shift method
This is a special form of organizing work activities outside the place of residence of personnel. The rotation method is used if, due to the nature of their work, employees cannot return home every day.
This mode is used to reduce the period of construction, reconstruction, and repair of social and industrial facilities in uninhabited, remote areas, and in regions with special climatic conditions.
The specificity of the rotational method is that the personnel are accommodated in rotational camps - complexes of structures and buildings used to provide rest and vital functions for personnel.
Duration of work on a rotational basis
A shift is a general period that includes the time of work and inter-shift rest in the village. The shift can be 12 hours daily. In general, the duration of the shift cannot be more than 1 month. However, by agreement with the trade union, it can be increased to three months.
With the shift method, a summary record of time is kept for a month, quarter, or a longer period, but not more than for a year. The accounting period covers all time of work, travel to the location of the enterprise and back, and rest. The total working time should not exceed the normal number of hours provided for in the Labor Code.
Fragmented day
The division of the day into parts is regulated by Article 105 of the Labor Code. As a rule, a fragmented schedule is introduced at enterprises engaged in serving the population, passenger transport, communications, and in trade organizations.
The division of the working day is carried out by the employer in accordance with local regulations adopted taking into account the opinion of the trade union.
The law does not establish the number of parts into which a day can be divided. As a rule, it is divided into 2 equal periods with a two-hour break. It is not paid. It is also possible to establish a greater number of breaks.
For time worked under a split schedule, employees receive additional pay.
Labor legislation provides for several, and each manager independently sets it for his employees. Let's study what kind of work schedules there are, what are their differences and characteristic features in our article.
What does the legislation say?
As we have already said, there are several options for the work schedule that can be established in accordance with Labor legislation - this information is specified in Article 100 of the Labor Code of the Russian Federation.
The norms prescribed in the legislation especially relate to the length of the week - that is, an employee can work 5 days, 6, or a different schedule may be provided. Attention is paid to weekends, weekends are provided according to. In some cases, a part-time working week can be established. The article also mentions how many hours a day the company’s employees will have to perform their work duties.
If we are talking about an irregular schedule, then this is all spelled out in Article 101 of the Labor Code of the Russian Federation. This type refers to a special mode of activity when workers are involved in work sporadically, regardless of the main work schedule. Article 102 of the Labor Code of the Russian Federation stipulates the conditions for a flexible work schedule - such activities provide for a shift, a day of work, and the duration of working hours will be determined by agreement between the employee and the director.
In the case of a shift schedule, all the rules for it are prescribed in Article 103 of the Labor Code of the Russian Federation. This mode is usually required if the main part of the productive process does not fit into standard work laziness. For example, when it is impossible to turn off blast furnaces or stop any technological processes.
The time worked by employees must be recorded in accordance with Article 104 of the Labor Code of the Russian Federation. For example, the duration of one working week should not exceed 40 hours, and the accounting period for each individual legal entity should not exceed a year.
If we are talking about workers engaged in hazardous work, then records must be kept every three months. Article 105 of the Labor Code of the Russian Federation provides for dividing the working day into several parts - but only if this does not lead to disruption of the production process. The created schedule must be agreed upon with trade unions and displayed in the company’s local documents.
Single-shift schedule and its features
According to statistics, more than 60% of all working citizens work according to this schedule, so it can rightfully be called the most common option among working modes.
Recording of time worked can be carried out either by day or week, or on a cumulative basis for a designated period. If records are kept by day, then any activity that goes beyond the established norm is considered overtime work - this is stated in Article 99 of the Labor Code of the Russian Federation.
According to this schedule, the employer can set the following number of working days:
- Five or six a week.
- Set sliding mode.
- Keep track of hours worked, which is very convenient if one employee combines several positions.
The minimum duration of the accounting period (if established at the enterprise) is a month, the maximum is a year. In this case, the employer needs to ensure that the daily norm does not differ greatly from the employee’s standard workload. If we talk about the total calculation, then it will be most relevant for those types of work where it is difficult to comply with the general established norm. For example, this applies to drivers - they transport goods only at certain times, the rest they rest.
In companies that operate continuously, the shift of one employee cannot be more than 12 hours, and payment under this regime will be calculated according to the number of hours worked.
Irregular work schedule and its features
It is understood as work activity that goes beyond the work schedule (standard) that is accepted in the organization. Typically, only certain categories of workers are involved in such work, and the work is temporary. At the same time, the list of persons who may be involved in such occasional work must be specified in the collective agreement or other local documents (for example, a schedule).
The principle of such activity is that an employee can stay at the workplace at the request of the director to carry out assignments. In some cases, a specialist may be brought in before the start or left after it. True, Article 60 of the Labor Code of the Russian Federation cannot require an employee to perform duties that are not specified in his employment contract. It is also prohibited to assign work duties that differ in nature from the employee’s main qualifications. For example, a cleaner should not do the work of an economist and vice versa.
It should be taken into account that the list of employees who are subject to irregular work schedules is usually determined by various regulations. Most often this list includes:
- Technical or administrative personnel.
- Specialists who work at their own discretion and can distribute their working time themselves.
- Persons working on a split schedule.
Managers must clearly understand that any overtime work can be transferred to a specialist only with his consent. Forced work can only be associated with any emergency situations, for example, eliminating accidents at an enterprise, etc.
Article 119 of the Labor Code of the Russian Federation specifies the conditions for compensation in the event of calling a specialist - for example, an employee can be paid for his work either at a double rate, or provided with additional leave with payment.
Flexible working hours - what do you need to know?
Such a regime may be established for certain categories of employees at the enterprise. For example, pregnant employees, employees who care for children, disabled people, parents, etc. It should be installed only after signing an additional agreement to the contract - it can be urgent or indefinite. Based on the signed agreement, the head of the organization draws up an order to change the employee’s standard schedule.
True, it will not be possible to introduce such schedules at enterprises with a continuous work cycle. Also, it cannot be introduced in the case of three-shift work (for example, in factories).
If two work shifts are introduced, but there are no free places at their junctions, introducing a flexible schedule will also not work.
This mode could be:
- 100% flexible, when a company employee chooses when to come and leave.
- Fixed - in this case, the additional agreement must specify the hours of arrival and departure from the workplace.
Such a schedule can only be established in the case of 5 or 6 working days a week. At the same time, neither the working conditions, length of service, nor pay change, since such a schedule is usually caused by the presence of social conditions.
Features of a shift work schedule
A shift schedule is another common option that allows for virtually continuous work activity. Moreover, each of the company’s employees will be able to work in different shifts during the reporting period (week, month). True, the law prohibits working for 2 shifts in a row.
When establishing such a regime, it is necessary to obtain the consent of the trade union, and Article 100 of the Labor Code of the Russian Federation states that workers working in this regime must rest at least 42 hours a week. If you work in a country, it is necessary to make additional payments to the basic salary - they are prescribed in the employment contract.
Shift work schedule and its main characteristics
The shift schedule also refers to a shift type of activity. The main disadvantage is that a company employee usually works far from his place of residence, without being able to visit his family on weekends.
The use of such a schedule is justified if work has to be carried out in difficult conditions or if the time frame for completing the work is reduced (for example, the construction of any important facilities). Naturally, in the case of shift work, workers are provided with housing during the period of their duties, and additional payments are usually provided for complexity and urgency.
Generally accepted standards for such work say that one shift of a specialist cannot exceed 12 hours a day, the average duration of a shift should be a month. However, Article 299 of the Labor Code of the Russian Federation provides that field work in exceptional cases can be extended up to 3 months - if there is overtime work, it is paid or compensated in the form of additional rest.
Features of a fragmented work schedule
This mode of operation can be set depending on the nature of the work itself. If during a shift the intensity of work decreases at some point, the working day can be divided into several parts.
This schedule is typical in the service sector, in transport organizations, in communications organizations, in transportation, catering and trade companies. The main thing is that the employer does not exceed the daily norm established for working hours. In this case, the schedule must be agreed upon with the trade union and all changes must be reflected in the company’s local documents.
The Labor Code of the Russian Federation does not have an exact indication of the number of parts into which a shift can be divided, but most often the working day is divided into several parts with a break between them. According to Article 144 of the Labor Code of the Russian Federation, employees should receive a small additional payment for such work.
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What is revolving lending?
Revolving loan- This is an automatically restored loan, which is technically introduced on the principle of an overdraft on a credit card. This type of lending is given within a certain limit and without predetermined repayment periods, and there is no need for negotiations between the parties to the agreement.
The maximum loan amount is determined in advance by the bank, while the loan funds are approved in advance, and the credit card holder does not need to justify to the bank the reason for withdrawing money.
Available funds for withdrawal either decrease or increase, in direct proportion to the expenditure of the total amount or its repayment. At the same time, for a certain period (also set by the bank in advance), the borrower can repay the loan amount without interest. This type of lending is used an unlimited number of times, hence the name revolving. Interest and loan repayments only take into account the amount used, and not the entire maximum limit of the card.
The maximum loan amount is selected individually for each client, taking into account his income. In general, the loan amount can be limited to six monthly incomes.
Participants in this form of lending can be international enterprises, the state, private individuals or legal entities. Initially, a standard procedure for issuing a credit card takes place, after which the bank client receives it with a limit of funds already existing on it. The client can make any purchases within his limit on the card.
At the end of a month of use, the client receives a statement from the bank indicating the amount of debt to be repaid. It can be repaid immediately, or you can take the minimum payment with interest. Moreover, if there are still funds on the card, despite the debt, the client can purchase goods that are included in the balance on the card. In addition, the client is free to choose to repay the loan at the end of the month or transfer it to the next one. And in the next one, he can also pay off only part or all of it. By closing the debt in full, the client again receives the original limit amount and can continue shopping further.
This type of lending can also be called cyclical. Since the client can take out and repay the loan himself at any time and whenever necessary, simply without exceeding the limit given to him.
Advantages of a revolving loan
Revolving type of lending has a number of advantages, such as:- - the opportunity to receive money in the absence of wages, for any reason,
- - the ability to repay the debt when the opportunity arises, without time limits,
- - no need for collateral,
- - the possibility of reducing a specific rate,
- - simple form of receipt,
- - interest is accrued only on the amounts used,
- - presence of specification in the limit,
- - unlimited variability of purchases.
However, revolving lending still has one disadvantage. This disadvantage is the high interest rate.
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