OT financial definition of OT
overtime (redirected from OT)
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Work by a wage
earner in excess of a statutory number or hours. For example, any time that a waged employee
works over 40 hours in a week is usually considered overtime. Working overtime may entitle an employee to extra compensation, such as one and a half times his/her ordinary wage, which is often called time-and-a-half
overtime extra hours of work undertaken by an employee that are additional to the number of hours specified as constituting the ‘basic’ working week, and for which employees are paid a WAGE RATE higher than the ‘basic’ wage. Firms often resort to overtime working to meet sudden increases in orders, viewing overtime by the existing workforce as a more flexible and cheaper alternative to taking on extra workers. An overtime ban by employees can thus be a highly effective form of INDUSTRIAL ACTION.
overtime the hours of work that are additional to those formally agreed with the labour force as constituting the basic working week. Employers resort to overtime working to meet sudden increases in business activity, viewing overtime by the existing labour force as a more flexible alternative to taking on extra workers. Overtime pay rates can be two to three times basic hourly rate. See PAY.