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Overtime Working in an Unregulated Labour Market

  • Bell, David N.F.


    (University of Stirling)

  • Hart, Robert A.


    (University of Stirling)

Using individual-level data on male non-managerial workers from the 1996 British New Earnings Survey, we estimate overtime hours and average premium pay equations. Among other issues, four broad questions are of central importance. (a) What are the impacts of straight-time pay and hours on overtime pay and hours? (b) Is premium pay positively related to the length of weekly overtime? (c) What is the influence of collective bargaining coverage on overtime pay and hours? (d) Does overtime working serve significantly to alter wage earnings differentials between covered and uncovered workers? These and other issues are discussed comparatively in relation to unregulated British overtime working practices and to the United States were overtime is subject to mandatory rules.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 44.

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Length: 30 pages
Date of creation: Jun 1999
Date of revision:
Publication status: published as "Wages, hours, and overtime premia: evidence from the British labor market" in: Industrial and Labor Relations Review, 2003, 56 (3), 470-480
Handle: RePEc:iza:izadps:dp44
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  1. Hart, Robert A & Ruffell, Robin J, 1993. "The Cost of Overtime Hours in British Production Industries," Economica, London School of Economics and Political Science, vol. 60(238), pages 183-201, May.
  2. Bell, David N F & Hart, Robert A, 1999. "Unpaid Work," Economica, London School of Economics and Political Science, vol. 66(262), pages 271-90, May.
  3. R A Hart & R J Ruffell, 1989. "Costs, Efficiency and Labour Demand," Working Papers Series 89/9, University of Stirling, Division of Economics.
  4. Bils, Mark, 1987. "The Cyclical Behavior of Marginal Cost and Price," American Economic Review, American Economic Association, vol. 77(5), pages 838-55, December.
  5. David N F Bell & Robert A Hart, 1995. "Working Time in Great Britain, 1975-1990," Working Papers Series 95/9, University of Stirling, Division of Economics.
  6. Trejo, Stephen J, 1993. "Overtime Pay, Overtime Hours, and Labor Unions," Journal of Labor Economics, University of Chicago Press, vol. 11(2), pages 253-78, April.
  7. Calmfors, Lars & Hoel, Michael, 1988. " Work Sharing and Overtime," Scandinavian Journal of Economics, Wiley Blackwell, vol. 90(1), pages 45-62.
  8. McDonald, John F & Moffitt, Robert A, 1980. "The Uses of Tobit Analysis," The Review of Economics and Statistics, MIT Press, vol. 62(2), pages 318-21, May.
  9. Blundell, Richard & Ham, John & Meghir, Costas, 1987. "Unemployment and Female Labour Supply," Economic Journal, Royal Economic Society, vol. 97(388a), pages 44-64, Supplemen.
  10. repec:oup:qjecon:v:101:y:1986:i:3:p:513-42 is not listed on IDEAS
  11. Bell, D. & RA Hart & O Huebler & W Schwerdt, 1999. "Labour Market Adjustment on the Intensive Margin: A Comparative Study of Germany and the UK," Working Papers Series 9903, University of Stirling, Division of Economics.
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