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Overtime policy

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Guidance to managers of employees who are contractually eligible to receive overtime payments.

Reading time
How long to understand and implement this policy?
5 mins
Word count
How many words in this policy?
237
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What is an Overtime policy?

The purpose of this Overtime policy is to provide you with a flexible and customisable document to serve as a robust and effective starting point for you.

By using our Overtime policy, you can streamline your process, maintain consistency and accuracy, and save time, and it can be easily adapted to fit your specific scenario.

Best practice timescale for this to be issued
When should this policy be issued?
During onboarding / after changes / planned refresher
Issued by who, to whom
Who should issue this policy, and to whom?
Internally issued to appropriate recipients in your Company
Applicable legal jurisdictions
In which jurisdictions can this policy be used?
Great Britain & NI (United Kingdom), Worldwide

Overtime Policy

Overview

The purpose of this policy is to provide guidance to managers of employees who are contractually eligible to receive overtime payments on the operation of overtime.

Scope

This policy is applicable to all employees of [company name].

General principles

Definition of overtime

Overtime is defined as any hours worked by an employee within a one week period that exceed the employees normal contracted hours and which have been worked with the agreement of their line manager to meet particular circumstances.

Authorisation

All overtime working must be authorised as far in advance as possible, by the relevant line manager, before a staff member begins working. The line manager must confirm the rate of pay/time off arrangements to which the staff member is entitled, before the overtime work is completed.

Standard payment rates

Management discretion may be used to pay a higher rate than those listed below, depending on the need/circumstance. This must be approved by a Director.

Additional time worked above contracted hours (FT or PT) on a contracted working weekday = [Time and 1/3]

Additional time worked above contracted hours (FT or PT) on non-contracted working weekday or Saturday = [Time and 1/2]

Additional time worked above contracted hours (FT or PT) on a Sunday = [Double time]

Public holiday if not contracted to work = [Double time plus day in lieu]

Public holiday if contracted to work = [Single time plus day in lieu]

This policy [does not] form[s] part of your terms and conditions of employment.

Version: [1.0]

Issue date: [date]

Author: [name, job title]

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overtime policy