Overtime increased in 30 per cent of organisations in New Zealand over the past year, with 48 per cent of staff unpaid for their extra hours, according to recruiting experts Hays.
Of the close to 900 organisations surveyed as part of the annual Hays Salary Guide, just 8 per cent managed to decrease overtime over the past 12 months.
Hays also spoke to more than 250 New Zealanders, with 46 per cent saying they work up to 2.5 hours of overtime on average each week. A further 31 per cent work between 2.5 and 5 hours per week, while 13 per cent work 6 to 10 hours. The final 10 per cent work more than 11 hours of overtime on average every week.
Furthermore, 28 per cent of those who are currently looking or planning to look for a new job in the next 12 months cite poor work-life balance as a motivating factor.
“Over the past year we’ve seen skill shortages intensify while business activity has increased,” says Adam Shapley, Managing Director of Hays in New Zealand. “This has led some employers to turn to their existing team to ensure expanding workloads are completed on time.
“But there is a cost, with rising overtime impacting the physical, mental and financial health of employees, particularly if it becomes excessive.
“This ultimately leads to rising turnover. If an organisation then becomes known for lengthy overtime, it’ll also lead to heightened candidate attraction challenges.
“To counter this, employers could consider whether a new permanent team member is required to relieve the pressure on existing staff. Or perhaps a temporary candidate could be brought in to assist at times of peak workloads.
“It’s also important to offer genuine work-life balance initiatives so that employees can focus on their health and wellbeing after periods of lengthy overtime.”
Get your copy of the Hays Salary Guide by visiting www.hays.net.nz/salary-guide or contacting your local Hays office.