No — there is no legal right to overtime pay in the UK beyond the terms agreed in the employment contract. UK law does not require employers to pay a premium rate (e.g., time-and-a-half or double-time) for overtime hours.
What the Law Requires
- Overtime rates are determined by the employment contract, not by statute
- The contract may specify a flat rate, enhanced rate, or time off in lieu (TOIL) for overtime
- If the contract says nothing about overtime pay, the employer is not legally obliged to pay for additional hours beyond the normal rate
- However, the average hourly rate (including overtime hours) must not fall below the National Minimum Wage
Working Time Regulations
While overtime isn't regulated in terms of pay, the Working Time Regulations 1998 limit working hours:
- Workers must not work more than an average of 48 hours per week (calculated over a 17-week reference period)
- Workers can opt out of the 48-hour limit in writing, but this must be voluntary
- Night workers must not work more than an average of 8 hours in each 24-hour period
- Workers are entitled to daily rest (11 consecutive hours), weekly rest (24 hours per week), and in-work rest breaks (20 minutes if working 6+ hours)
Best Practice
- Set out overtime terms clearly in the employment contract
- Be consistent in applying overtime policies to avoid discrimination claims
- Monitor working hours to ensure compliance with the Working Time Regulations
- Consider the impact on holiday pay calculations, as regular overtime must be included
Need help drafting overtime policies? Speak to our HR consultants.