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If a company takes extra work from employees without legally required overtime payment, what is the main risk?

Answer and explanation

Correct answer: Labour claim and wage compliance risk

Direct answer: Option D is correct. Overtime means work beyond the normal hours, and labour law or the employment agreement may require extra payment and proper records. Reason step by step: employees work additional hours; a legal overtime rule applies; the company does not pay the required amount; employees may complain or bring a labour claim; the company may face back-pay, penalties, interest or reputational harm. Option D correctly identifies both the labour claim and wage-compliance risk. Option A, customer fashion, has no connection with employee pay. Option B, weather stability, is unrelated. Option C, machine repair, concerns equipment rather than wages and working time. Exact overtime rules differ across jurisdictions, but D is clearly the main risk under the question’s assumption that payment is legally required. Memory cue: unpaid overtime means hours, wages, records and labour law.

Related tags

Business-EnvironmentLegal-EnvironmentClass-12Hard

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