Overtime rate
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Overtime rate is a calculation of hours worked by a worker that exceed those hours defined for a standard
labor law defines overtime
. In many jurisdictions, additional pay is mandated for certain classes of workers when this set number of hours is exceeded. In others, there is no concept of a standard workweek or analogous time period, and no additional pay for exceeding a set number of hours within that week.
The overtime rate calculates the ratio between employee overtime with the regular hours in a specific time period. Even if the work is planned or scheduled, it can still be considered overtime if it exceeds what is considered the standard workweek in that jurisdiction.
A high overtime rate is a good indicator of a temporary or permanent high
labor-management relations.[1] It could result in a higher illness rate,[2] lower safety rate,[3] higher labor costs, and lower productivity
.
United States
In the United States a standard workweek is considered to be 40 hours.
24/7
coverage can be obtained.
Formula
References
- Daily Californian. Retrieved June 18, 2014.
- ^ Boseley, Sarah (May 11, 2010). "Too much overtime is bad for your health, says study". The Guardian. Retrieved June 18, 2014.
- PMID 16109814.
