Overtime in accordance with the collective agreement can never be compensated using the hour for hour principle.
Overtime must always be compensated with raised hourly pay. The compensation can also be given as corresponding increased time off, if the collective agreement includes provisions on this.
Overtime compensation in regular working time
Daily and weekly overtime is compensated in regular working time. The first two hours of daily overtime are compensated with an increase of 50 per cent, i.e. the hourly pay multiplied by 1.5. The following hours are compensated with an increase of 100 per cent, i.e. double pay.
Weekly overtime is usually compensated with an increase of 50 per cent for the first five hours, followed by an increase of 100 per cent to the hourly pay. The hours compensated as daily overtime are first deducted from the weekly overtime.
Overtime compensation in period-based working time
Daily overtime is not compensated in period-based working time. Instead, only hours exceeding the overtime limit for the period are considered overtime.
Typically, the first 18 overtime hours of a three-week period are compensated with a 50 per cent increase in hourly pay and the following hours are compensated with a 100 per cent increase in hourly pay.