Is Overtime Killing Your Business?


Overtime can be both bad and good for your business if your employees qualify. Having your staff work overtime could potentially mean needing less employees-but can also mean overworking good ones. There are some people who argue that the cost of overtime is far less than additional employees, while some argue that just one additional employee could alleviate that cost. Most employers want to ensure that their business has coverage at all times so pressure is put on the workers to take on extra time. Often times, quality of work and quality of life may be comprised if certain situations are not closely watched. Some employees may stretch their workload in order to earn some extra money, while others may feel pressured to work longer hours and comprise their health because they feel an obligation. While every situation is different, there are pros and cons to both sides.


More Flexible Workforce

Overtime can allow for a more flexible team. Covering call-outs and emergency situations are easier and essentially, you can have coverage at any hour. As situations arise and projects need finishing, you have a team you can rely on. Overtime allows for a well trained and experienced team that is ready for any situation.

Extra Income for Employees

Overtime can be seen as an incentive for employees and can improve retention in your office and decrease employee turnover.

Avoid the cost of a new hire

Utilizing overtime can reduce the cost of labor. A new hire can be costly considering the hiring process and training- in some situations overtime can be cheaper then a new hire.




Expecting your employees to work more than 40 hours a week can often times lead to a drained employee. If they have exceeded their limit, their work will suffer. If overtime is consistent, employees may get used to the extended hours and lose the eagerness to complete their work on time. When your employee is too tired their work will be inconsistent.

Quality of Life for employees

Working overtime can lead to increased stress and health issues for employees. With health issues, comes time off of work and unhappy workers. There needs to be some level of work-life balance in order to retain happy employees and allow them to enjoy life outside of work. The morale of your team depends of the quality of life of your employees.

Income Issues

Consistent overtime means consistent bigger checks for your employees. If there comes a time where there are budget cuts- you may need to cut overtime. With this change may come unhappy employees- they may look to you to compensate for lost wages.

Preventing Growth

Although the cost of a new employee can be high, the value can be worth it. A new employee brings a fresh perspective to your team and can bring your company to new levels. If overtime is working your team to the point of exhaustion, it might be time to explore an additional hire.


*Any opinions expressed in this blog are not necessarily the opinions of EDI Staffing.


Looking for EDI Staffing has helped clients address their permanent and contract staffing needs since 1994. Our experienced recruiters each have a specific area of focus, and we maintain an active database of more than two million EDI, EAI, IT, ERP and e-Commerce professionals. As a result, we have the expertise and resources to match qualified professionals for your opportunities.


About Gabriella Calise

Gabriella began her career at EDI Staffing in 2014 as the Manager of Marketing and Client Services where she used her passion for social media and technology to connect top IT talent with our client partners. In 2016 Gabriella became the Executive Vice President of EDI Staffing, where she works closely with the President/CEO to find new and inventive ways to assist our clients and candidates. Gabriella oversees the day to day functions of the staff and continues to head our marketing and outreach efforts.

Outside of EDI Staffing, Gabriella teaches Saxophone and Clarinet privately. She enjoys exploring new places and spending time with her family and friends.

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