Are employers required to pay a premium to employees who work overtime?

Employees who work overtime do not have an automatic right to any additional pay; this will depend on the terms of their contract of employment, or on custom and practice. If there is no provision in the contract for employees to be paid extra for working overtime, and there is no established practice of this happening in the past, the employer does not have to pay employees a premium if they work overtime. The employer must ensure that employees' average pay does not fall below the relevant national minimum wage rate.

It is often the case that employees are expected to work unpaid overtime from time to time, to meet the reasonable requirements of the business. This is more common for employees in non-manual roles, who are on a salary, than for employees who are paid on an hourly basis.