Paid Overtime Less Lucrative For Workers Putting In Extra Hours

Paid Overtime Less Lucrative For Workers Putting In Extra Hours

Paid overtime is far less lucrative than it used to be, with only a minority of workers receiving the traditional time-and-a-half premium, a new report reveals.

One in 10 workers did paid overtime in the past year, but only a fifth got at least time-and-a-half for the extra hours, said the Resolution Foundation.

Overtime is more common in transport, affecting almost one in five workers, and manufacturing (14%), compared with just 4% in teaching, the study found.

More than half of retail workers receive no premium for overtime, said the report.

Conor D’Arcy, senior policy analyst at the Resolution Foundation, said: “Paid overtime is a massive workplace issue for millions of workers, and yet it enjoys a fraction of the attention given to more niche areas like the gig economy.

“This is likely due to it being a bigger deal outside London, and in more traditional sectors like manufacturing and agriculture.

“While paid overtime is popular, it’s far less lucrative than it used to be. Only a minority of workers still enjoy the traditional ‘time-and-a-half’ pay premium.”

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