Many companies choose overtime vs. new hires not because of the monetary compensation, but the benefits package makes it a less costly alternative. Also, some of the overtime hours given would not directly correlate into an additional full time position due to them being sporadic or seasonal.
I would personally like to see corporate tax breaks converted into a per hire tax credit. No new hires, pay what you should in taxes. Hire new employees and you get X amount per new hire. That would help the governments revenue stream, consumer spending, and the unemployment rate all with one change.