Daily overtime is work that exceeds the regular permitted daily working hours. In most cases, any work that exceeds eight hours a day is daily overtime work.
Daily overtime is compensated for by increasing the pay by 50% for the first two hours of overtime and by 100% for the following hours (basic pay + increase). Daily overtime on a Saturday and on the eve of public holidays shall be paid with an increase of 100% for all hours.
An employee’s work on a day off based on the roster (usually Saturdays and Sundays) is considered weekly overtime if:
- the weekly working hours exceed 40 hours after the deduction of daily overtime and additional work.
- If the 40-hour limit is reached during a day off, any excess hours are weekly overtime. Working hours between regular working hours and 40 hours is additional work
Under collective agreements, weekly overtime is compensated for by increasing the pay by 50% for the first eight hours of weekly overtime and 100% for the following hours (= basic pay + increase). Weekly overtime on Easter Saturday, Midsummer Eve, and Christmas Eve is paid with a 100% increase for all hours.
The hourly pay is calculated on the basis of the monthly salary with fringe benefits, such as the monetary value of any fringe benefit, commission and production bonus, and extra duties allowance, but not extra compensation for shift work, compensation for regular work on Sundays, and temporary compensation such as overtime, Sunday and additional work.
The monthly salary, including fringe benefits, is divided as follows:
- by 158 when working hours are 37.5 per week
- by 160 when working hours are 40 per week (162 in the graphic arts sector).
According to the Working Hours Act, an employee’s working hours (including overtime) may not exceed 48 hours per week on average during a four-month period. However, the length of the adjustment period can be defined differently in the collective agreement – check the provisions on the maximum amount in your collective agreement.
Working hours
Working hours refers to the time spent on work and the time that you are obliged to spend at the workplace at the employer’s disposal.