What is the True Cost of Overtime on Construction Projects?

Summary: Can overtime really help a project or hurt it? This article dives into how much overtime affects a construction site.

When it comes to working on a construction site, there are certain projects that can force employees to work long hours and even weekend shifts. Some studies have shown that 30% of the hours worked were above normal hours, resulting in a significant amount of overtime. But, are these hours actually worth the cost, and how does this affect the overall project itself?

Breaking Down Overtime Costs

There are numerous costs of overtime work, with many of them not always so obvious. For example, those on wages are normally paid a 50% to 100% premium on top of what they are paid. Does this increase help efficiency. As a matter of fact, it doesn’t. Working overtime has been long known to frequently decrease productivity. Most employees cannot work long hours, day in and day out with decent rest. Heavy lifting and manual labor is strenuous on the body and will wear anybody out after long hours.

Another common issue is the lack of proper supervision. Oftentimes, employees that work after hours and on weekends are not properly managed and spend time performing tasks that aren’t project-related or just simply slack off.

A lack of supervision can also mean that some employees do not work the full hours that they claim to have did and are paid more than what they are due. It’s crucial that a supervisor remains vigilant with every employee to ensure that everyone is performing his or her task appropriately – which translates to the right amount of pay. Slacking off can and will happen on occasion, so it’s crucial that a supervisor keeps a watchful eye and lays down the law whenever necessary.

Blog submitted by Lyle Charles: Searching for efficient construction & turnaround services? Contact Lyle Charles, of Lyle Charles Consulting, to learn how your project can benefit from this premium service.