An hourly employee is a worker who is paid a fixed amount for each hour they work. Their earnings can vary based on the number of hours worked in a week. This type of employment is common in industries like retail, hospitality, and manufacturing, where work hours can fluctuate. Hourly employees typically receive overtime pay for hours worked beyond a standard workweek, often defined as 40 hours. They may not receive the same benefits as salaried employees, such as health insurance or paid time off, depending on their employer's policies and local labor laws.