← HR Metrics·Compensation & Benefits
Overtime Cost Ratio
Overtime pay as percentage of total payroll
How it’s computed
SUM(overtime_pay) / SUM(total_pay)
What the evidence shows
Evidence (effect sizes, priors, validity) is syncing from Principia.
What this metric can show you
Overtime Cost Ratio can tell roughly 22 pre-built stories — each a designed scene the data either confirms or it doesn’t. Bring your numbers and the Story Finder runs every one of these shapes against them.
specific to compensation & benefits
A real gradient — now ask if it's pointed at value
compensation · T1
Below the market, across the board
compensation · T1
One group sits apart on a decision that should be neutral
fairness-equity · T1
Pay is drifting from plan
compensation · T1
universal shapes — any single metric can take these
A few large values are doing the talking
any focus · T1
A one-time event, not a trend
any focus · T1
It doesn't track — the premise is false
any focus · T1
It's concentrated — one group stands apart
any focus · T1
Scenes are pre-built; your data is the toggle. Browse the full deck or watch one play end-to-end in The Quiet Exodus.
Run it on your data
This metric is computed in the People Analytics Toolbox on your own numbers. See pricing — posted, no quotes.
sources: toolbox:metrics-catalog
What the literature says
The measurement literature behind this signal — sourced, so you can defend it.
“The OECD develops policy recommendations and guidelines, some of which are binding (e.g., anti-bribery convention) and assists governments ensure responsiveness by monitoring economic changes in member countries.[C15]Organizational cultureSee corporate culture.[C2, C11, C17, T6,…”
— Worldatwork Handbook Compensationmatch 57%
“When retroactive wage increases are made, retroactive overtime compensation is due at the time the increase appears in the employee’s paycheck.Overtime CalculationThe FLSA does not permit averaging of hours over two or more weeks, even if the average of the two workweeks is…”
— Worldatwork Handbook Compensationmatch 56%
“The regular rate is computed by dividing total earnings (except statutory exclusions) by the total number of hours for which earnings were paid. If the piece-rate earnings constitute straight-time pay for all hours worked, only additional half-time need be paid for work over…”
— Worldatwork Handbook Compensationmatch 56%
Resources: Worldatwork Handbook Compensation