Question :

What is basis of calculating overtime is it on basic or gross salary?
should the hourly rate be calculated on 26days or 30days?


  1. The first thing to remember is that your overtime is calculated on the basis of your ordinary pay or gross salary. Considering that you work in an organization other than Railways, your overtime rate is twice the rate of ordinary pay. Consider the following case.

    Your monthly wage: PKR 13,000 (you are minimum wage worker)

    Normal working hours: 8 hours/ day ( 48 hours a week)

    Working days in a month: 26 days (one weekly holiday)

    Total Overtime hours that you worked: 20 hours

    you may get the calculating formula and full details here.

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