Aussies missing out on $131 billion in unpaid overtime, claims report

The average Australian worker misses out on more than $11,000 in wages a year due to unpaid overtime, according to a new report.

The Go Home On Time Day report, released today by the Australia Institute’s Centre for Future Work, found employees are doing an extra 5.4 hours of unpaid work every week.

That adds up to 281 hours – more than seven full working weeks – over the course of the year, which the report said is costing workers an average of $11,055 in unpaid overtime or a collective $131 billion when added up across the country’s entire workforce.

The average Australian worker misses out on more than $11,000 in wages a year due to unpaid overtime, according to a new report.

The Go Home On Time Day report, released today by the Australia Institute’s Centre for Future Work, found employees are doing an extra 5.4 hours of unpaid work every week.

That adds up to 281 hours – more than seven full working weeks – over the course of the year, which the report said is costing workers an average of $11,055 in unpaid overtime or a collective $131 billion when added up across the country’s entire workforce.

“Instead, ‘time theft’ has actually blown out by 57 hours per worker since 2022 and has returned to near pandemic-era levels.”

According to the survey, full-time employees did the most unpaid overtime at 6.2 hours per week, while more than 19 per cent of hours worked by casual staff were found to have been unpaid overtime, more than any other employment status.

Young people aged 18-29 were falling victim to time theft more than other age groups with 7.4 hours of unpaid overtime per week, compared to 5.3 for 30-39-year-olds, 4.5 for 40-49, 4.3 for 50-59 and 3.6 for workers in their 60s or older.

“This cohort is particularly vulnerable to exploitation as workers tend to have less experience and qualifications, placing them at a disadvantage competing for jobs, even in a tight labour market,” the report stated.

“Even with low unemployment the pervasiveness of job insecurity and underemployment makes workers vulnerable to time theft: workers are pressured to accept demands for unpaid overtime, for fear of having their hours cut, not having temporary contracts renewed, or losing their jobs altogether.

“Young people are also overrepresented in casualised industries rife with time theft, such as hospitality and retail, where it is common to be expected to complete unpaid work (such as opening or closing a store or restaurant, or unpaid ‘training’ time).”

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