To ensure you have a smart payroll system in place you need to understand overtime pay and surrounding laws.
There are few obligations on employers to pay penal rates other than that already agreed to and in their employment agreements and Public Holidays.
Penal rates are rates agreed to between an employer and an employee and are a greater hourly rate than that paid during the ‘normal’ working week of 40 hours.
This is often referred to as ‘time and a half’ or ‘double time’ and is agreed to or offered at the start of an employment contract.
Employers are not obligated to pay more per hour for overtime worked so can continue to pay the same hourly rate when employees have completed 40 hours and then work more hours.