Schedule Compression and Time-Cost Trade-Off - Construction Project Scheduling and Control - page 218

Figure 8.3 Cumulative effect of overtime on productivity (50- and 60-hour workweeks).
(From The Business Roundtable, Scheduled Overtime Effect on Construction Projects
[New York: The Business Roundtable, November 1980], Report C-2, p. 10. Reproduced by
permission from The Construction Users Roundtable [CURT; formerly the Construction
Committee of The Business Roundtable]
Sunday and night hours, may be compensated at double the regular rate. If the
project involves open-shop labor, overtime pay depends on the contractor's
company policy but is always subject to government regulations. For hourly
workers, hours in excess of 40 per week almost always cost more than regular
hours. In contrast, salaried employees may not receive overtime compensation.
The Business Roundtable (1980) studied the combined effects of reduced
productivity and increased costs resulting from overtime. The curves in
Figure 8.4 show these effects. In general, the author does not recommend
overtime as a long-term policy.