Overtime Work in Labour Law: The Essentials
Working hours and overtime are among the questions that arise most often in an employment relationship, for both the employee and the employer. This article outlines the general framework of overtime work.
What counts as overtime?
As a rule, the weekly working time is taken to be forty-five hours. Work performed beyond this limit is treated as overtime under the legislation. Where the weekly working time has been agreed at a lower figure, a separate concept may apply to the portion up to forty-five hours.
Annual limit and the employee's consent
Overtime is not unlimited; an upper limit on the number of hours per year is set. In addition, as a rule overtime may only be required where the employee has given consent to it. Obtaining that consent in the proper form reduces potential disputes.
Compensation: premium pay or time off
Overtime is compensated by applying a premium to the normal hourly wage at a set rate. Instead of this payment, the employee may also choose to take time off in lieu at the corresponding rate for each overtime hour worked.
Points to keep in mind
- Recording working hours matters for evidentiary purposes.
- Overtime consent and calculation should be assessed together with the contract and workplace practice.
- Matters such as rest breaks and night work are subject to separate rules.
Disputes about overtime can vary according to the content of the contract and the actual working arrangement. General information may not apply to every case on a one-to-one basis.
