Coverage check

What is a cover check for all-in contracts?

A cover check is used to verify whether the salary of an all-in contract or an overtime flat rate correctly covers the actual hours worked.
In Austria, this check is particularly relevant as all-in contracts are widespread - but many employees do not know whether they are being paid fairly.

Background: All-in contract in Austria

An all-in contract combines the basic salary with a lump-sum payment for overtime.
The regulation is intended to simplify administrative processes - but in practice it often leads to uncertainty as to whether the flat rate covers the actual service.

Typical questions are:

  • What overtime is included in the all-in?
  • Does the lump sum cover the hours actually worked?
  • Is there an entitlement to additional payments?

This is exactly where the cover check comes in.

How does a cover check work?

Several points are analyzed during a cover check:

  • The applicable collective agreement
    → Which basic salaries and overtime bonuses are prescribed?
  • The actual hours worked
    → including overtime, weekend and public holiday bonuses.
  • The all-in salary paid
    → including flat-rate overtime compensation.

Result:
It is determined whether the total salary covers the actual hours worked or whether there is a shortfall.

What does a practical example of a cover check look like?

An employee with an all-in contract receives 60,000 € gross per year.
The contract contains 200 overtime hours compensated at a flat rate.

At the end of the year, the working time record shows
230 hours of overtime actually worked

According to the collective agreement 63.000 € due.
There is a Shortfall of € 3,000 This must be paid in arrears.

When is there an entitlement to subsequent payment?

An entitlement to subsequent payment exists if the actual work performed is valued higher than the flat-rate compensation in the all-in salary.

Common reasons:

  • More is regularly worked than agreed
  • The overtime allowance is set too low
  • The classification in the collective agreement is not up to date

What should employees look out for?

  • Complete documentation of working hours - No coverage check is possible without data
  • Check all-in agreement in detail - especially the scope of the included hours
  • Compare regularly - Do salary and actual performance match?

What should companies & HR departments look out for?

  • Carry out regular cover checks - Ideally annually or upon departure
  • Ensure correct collective agreement classification
  • Use digital time recording - Automated systems create transparency and reduce errors

Why is the cover check important?

For employees:
→ Protection against unpaid overtime and clear, comprehensible salary structures.

For companies:
→ Legal certainty, fair remuneration and avoidance of disputes or high additional payments.

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