What Is Overtime Premium? | HR Glossary | BambooHR
The enhanced rate, above normal pay, paid for hours worked as overtime.
An overtime premium is the extra amount, over and above the normal hourly rate, paid for overtime hours — commonly expressed as time-and-a-half or double time. It compensates employees for working beyond their standard hours.
Whether a premium is payable is generally a matter of contract or collective agreement rather than statute. Many sectors and unionised workplaces set premium rates for evenings, weekends or public holidays.
In Ireland there is no general legal requirement to pay an overtime premium, though public holiday working carries specific entitlements under the Organisation of Working Time Act. Employers should define premium rules clearly in contracts and configure payroll to apply them accurately.
