Final answer:
Overtime pay is typically at least 1.5 times the normal hourly wage, which means employees earn their regular pay plus an extra half of their pay rate for overtime hours.
Step-by-step explanation:
Overtime pay is a compensation scheme in many labor regulations globally, entitling employees to increased remuneration for working additional hours beyond the standard workweek. Typically, the overtime rate is set at 1.5 times the regular hourly wage. This means that for each hour worked beyond the standard work hours, which often exceed 40 hours per week, employees receive one and a half times their normal hourly wage.
For instance, if an employee's standard wage is $10 per hour, their overtime rate would be $15 per hour. This practice aims to incentivize employees for working extra hours and compensate them fairly for their additional efforts. It also serves as a mechanism to encourage employers to consider hiring more staff instead of consistently relying on employees to work excessive overtime. Overtime regulations vary by country and sometimes by industry, but the principle of compensating extra work at a higher rate remains consistent across many labor laws worldwide.