What is hourly employee?
An hourly employee is someone who is paid per the total number of hours that they work according to a pre-agreed rate. They are often entitled to overtime pay and their income is usually paid gross at the end of the month.
Hourly employees are most often encountered in low-income industries like service and manufacturing but that’s not a hard and fast rule. If your company works with a large number of hourly employees the process of calculating and paying all their specific wage packets can pose a challenge in some cases, so consider using automation software.
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