All hours logged in the timekeeping (or time and attendance) system are imported daily into PMI. These hours must be classified as either productive or non-productive.  

• • The standard rate for a logged labor hour is 1. A conversion rate can be applied if a logged hour should count for more (>1) or less (<1) in PMI.  
  • To calculate the hotel’s labor costs, the hours per time category are multiplied by a cost rate.  
  • For each time category, the cost rate can be specified as higher (>1), lower (<1), or equal to the department’s average cost rate (1). 

See the guidelines below on how to categorize the imported hours in PMI. 

What are productive and non-productive hours?  

Productive hours are any hours spent on performing core activities and core duties, i.e., those that are essential functions directly aligned with the primary mission of the respective departments. These are typically regular or routine tasks that form the core of the daily work in the respective departments.  

Non-productive hours refer to paid hours when staff are not doing their core work tasks. This can include attending training sessions, participating in safety drills, and even time off for paid sick leave. 

Time categories that the hotel doesn’t pay for should be set as “Ignored.” 

Examples of core activities, tasks and duties 

In the housekeeping department, the core activities or tasks revolve around maintaining cleanliness and hygiene throughout the hotel. This includes daily room cleaning and preparation, sanitizing public areas, and reporting maintenance issues. 

For the restaurant department, the core activities include regular meal preparation and service, inventory management, menu development, ensuring food safety, coordinating special events, and staff training.  

The front office department serves as the primary point of contact for guests. Core activities encompass managing check-ins and check-outs, handling reservations, providing guest assistance, and managing accounts and payments. 

How to use “Prod”, “Non-Prod.” and “Cost” rates 

Here are few examples to help make the use of these fields easy and correct.  

1. Hours spent on core activities/duties 
   1. 1. For hours spent on daily, core tasks, set the rate to 1.00 for both “Prod” and “Cost.” 
      2. Leave the “Non-Prod ” rate at 0.00. 
2. Higher pay on special days 
   1. 1. If employees earn extra pay (e.g., double pay on holidays), update the “Cost” rate to match. 
         1. Example: Set “Prod” to 1.00 and “Cost” to 2.00 for double pay rates. 
3. Vacation, holidays and absences 
   1. 1. Paid vacation: This is already accounted for as part of the payroll, so no additional adjustments needed. 
      2. Public holidays: If this is a regular day off or exchanged for a day off later, treat it like a weekend day and no extra adjustments are needed. It’s included in the monthly salary. 
      3. Unpaid absences: These time categories can be set to “Ignore” since they don’t impact the payroll. 
4. Partial pay during absence/leave 
   1. 1. Partially paid leave: Enter 1.00 in “Non-Prod” and a fraction of the pay rate in “Cost.” 
         1. Example: If employees get 70% pay during leave, set “Non-Prod” to 1.00 and “Cost” to 0.7.

Summary: Examples of time categories and mapping settings