Managing your award settings

When it comes to customising your award interpretation, there are numerous settings that allow you to tailor the process for each individual award.

This article provides an in-depth exploration of the functionalities of the settings that are accessible on the Award Settings page.

In this article, we will cover:

  • Key information before you start
  • Pay settings
  • Overtime settings
  • Rest period settings
  • Split shift settings
  • Public holiday settings

  Permission Reminder: The permissions 'View Awards & Agreements' and 'Edit Awards & Agreements' are both required to make changes to these settings. 

Before you start

When editing award settings, it's key to note that changes are made on a per-award basis. This means that any alterations will have a broad-reaching impact, affecting all positions created under that specific award. 

Reviewing and updating your award settings regularly will ensure that this system facilitates efficient and effective oversight of all award-related positions.

To edit your award settings:

  1. From the main menu, navigate to Awards & Agreements.
  2. Select the award you're interested in and select Settings.


 

When changing settings, please remember the following

    • Consider if the changes you are making will impact other shifts/positions.
      If you are changing the award settings to make a specific situation work, ensure that the changes won't negatively impact other positions/shifts.

      This is especially true for the settings that relate to overtime or penalty rates, as the amount you pay employees will likely be affected by the changes you make. 
    • Test your changes immediately.
      Once you make changes to the award settings and have saved them, test it! You can use the Award Tests feature to test the changes you're making very quickly and easily.

      If you're working to resolve a specific issue for a position or employee, have those details in the Award Test ready to go. Once you've made your changes, you can run the Award Test to see how the changes impact the award interpretation. 
    • If you're unsure of what to do or the impact it will have, please reach out to us. 
      The changes made in Award Settings can have a very large impact on your positions, pay rules, and how your employees are paid.

 Contact us: If you are unsure about a setting and how it can be applied, please reach out to our support team.

Pay Settings

Casual Loading

The first setting that can be reviewed is Casual loading, this is an additional loading applied to base rates for a casual employee.

From this setting, you can specify the percentage of loading to be applied e.g. 25%, 0% etc. 

This setting will allow your platform to calculate the casual rate for each classification created in your award. This is key, as when setting up your classifications, you will only enter the base rate. 

This will apply for any relevant overtime, weekend or public holiday rates, that also have casual loading. 

 If you are looking to read further on setting up rates with or without causal loading, please refer to our article on setting up rate labels. 
Leave Loading

Leave loading is an additional loading applied when an eligible leave type is redeemed.

From this setting, you can specify the percentage of loading to be applied, e.g. 17.5%. This percentage will apply to all paid leave entitlements that have a leave loading variable. 

When setting up your paid leave entitlements, you can choose if leave loading applies as a variable, when an employee redeems leave, when cashing leave or is paid out on termination

This will allow you to specify which entitlements have leave loading and the payment methods that include leave loading. 

  For further information on setting up your leave entitlements please refer here. Additionally, you can override the leave loading amount per employee when needed from the employee profile

Use shift and weekend loading rates when higher than standard loading?

Many awards will pay higher rates for weekends or for shift work. When leave applications fall on those days, the leave loading may be less than the shift or penalty rates for those days. This setting enables you to determine which value is paid.

This setting works in conjunction with the following parts of the platform:

    • Penalty & shift rates on the position setup
    • Work pattern configuration on the employee position
    • Rostered shifts for the employee

How to update this setting:

  1. By default, this setting will be set to No. To update, select Yes; once selected, additional fields will be available to be completed.
  2. In the 'If not specified by work pattern or rostered shifts, what's the default start time for leave?' field, specify a default start time.

    The specified time will be used when no shifts are rostered or if a work pattern does not specify a start time or does not exist for a submitted leave application on this day.
  3. For 'Apply to all types of leave?' select from the following:
    • Yes - This will apply to all paid leave entitlements.
    • No - Select the appropriate paid leave entitlements in the 'Which leave types should apply?' field. 
  4. To save your changes, select Save from the taskbar.

SCENARIO A

We'll use the following example to look at the different options for the 'Use shift and weekend loading rates when higher than standard loading?' setting.

Piper is a Duty Manager working full-time at a licensed club. Although she works full time, the days in which she works will change on a rotating roster.

Piper applies for 3 days of annual leave spanning Friday - Sunday, with 8 hours per day.

How will Piper's leave be affected by the different choices from this setting?

  • When No is selected

    With this option selected, Piper will be paid her normal rate with leave loading applied for each day of annual leave.

  • When Yes is selected

    With this option selected, Piper will be paid higher rates for some of Friday, all of Saturday, and Sunday.

    In this example, Piper's position pays 50% additional for Saturday and 75% additional for Sunday, so those rates were applied instead of the 17.5% leave loading.

SCENARIO B

We'll use the following example to look at the second part of this setting, which applies a default start time instead of using a work pattern. 

Kara is a Supervisor in a warehouse and works the night shift. Her regular shifts start at 5:00 pm. 

If a start time is not specified in the employee's work pattern or rostered shifts, what should the start time default to?

  • 9:00 am (default value)

    With this option left at the default value of 9:00 am, Kara will be paid based on the leave being used for a 9 - 5 shift.

  • 5:00 pm

    With this option set to 5:00 pm, Kara will be paid at a higher rate as this falls into the night shift, which is higher than the leave loading.

  Hot tip: This setting is set for an entire award and should be used as a base level or default. If employees work all different times or shifts, that should be configured in their work pattern.  

How should shift penalty quantities be calculated?

Shift penalties are one of the pay rules you can set within a position in Awards & Agreements. This pay rule works by applying an hourly penalty for a particular part of a day, e.g. for hours worked during a night shift, a night shift penalty will apply.

  Please note: This setting does not apply to allowances or pay items created through the Pay Items & Allowances menu. 

The 'How should shift penalty quantities be calculated?' setting affects how these shift penalties can be calculated and applied.

You can select 1 of the following options:
    • Percentage of hour worked (Pro rata) - This will apply a partial penalty when a partial hour is worked.  
    • Round up to whole number - This applies the full penalty, even if a partial hour is worked. 

SCENARIO

We'll use the following example to look at the different options for the 'How should shift penalty quantities be calculated?' setting.

Nick is working as a Kitchen Hand under the Hospitality Award. His shift starts at 7 pm and finishes at 11:15 pm (4.25 hours worked). This entire shift will attract the evening shift penalty.

How will Nick's penalty be affected by the different choices from this setting?

  • When Percentage of hour worked (Pro rata) is selected

    With this option selected, Nick will be paid for 4.25 hours of the shift penalty for the 4.25 hours worked.

  • When Round up to whole number is selected

    With this option selected, Nick will be paid for 5 hours of the shift allowance even though he only worked 4.25 hours. 

  For further information on setting up shift penalties, please refer to our article here.

Should relevant shift penalties be paid when receiving break penalty rate?

The 'Should relevant shift penalties be paid when receiving break penalty rate' setting is a key setting to consider when your award uses both of the following pay rules: 

    • Shift penalties - This pay rule works by applying an hourly penalty for a particular day part worked e.g. for hours worked during a late shift, a late shift penalty will apply.
    • Delayed meal break - This pay rule pays your employees a different rate when they have not taken an unpaid break within a specific threshold.

      The increased rate will apply until the employee has an unpaid break, goes into overtime, or finishes their shift.

  Please note: This setting does not apply to allowances or pay items created through the Pay Items & Allowances menu. 

The 'Should relevant shift penalties be paid when receiving break penalty rate' setting affects how these shift penalties can be applied when a delayed meal break occurs.

You can select 1 of the following options:

    • Pay shift penalties plus break penalty rate - This will apply both the shift penalty and the delayed meal break rate. 
    • Pay break penalty rate only - This will only apply to the delayed meal break rate.

     

SCENARIO

We'll use the following example to look at the different options for the 'Should relevant shift penalties be paid when receiving break penalty rate' setting.

Nick is working as a Kitchen Hand under the Hospitality Award. His shift starts at 3 pm and finishes at 11 pm, and he was unable to take his break. 

Nick's shift will be a late shift from 7 pm through to 11 pm. As this shift has no break, the shift will trigger the delayed meal break rule from 9 pm; this will carry through to the end of the shift.

How will Nick's be affected by the different choices from this setting?

  • When Pay shift penalties plus break penalty rate is selected

    With this option selected, the delayed meal break will be paid from 9 pm - 11 pm. The shift penalty is paid from 7 pm through to the end of the shift at 11 pm (4 hours).  

  • When Pay break penalty rate only is selected

    With this option selected, the delayed meal break will be paid from 9 pm - 11 pm. The shift penalty will only be paid from 7 pm - 9 pm (2 hours) when the unpaid break penalty starts. 

  For further information on Delayed meal breaks, please refer to our article here.

At what point in the shift should an unpaid break be applied?

When it comes to breaks, this setting determines a fallback start time for a break. The fallback time is used specifically for when a shift is approved for a break but no start time is specified; the fallback time is then applied to payroll.  

The options for this setting are to apply the break:

    • At the start of the shift
    • Four hours after the start of the shift
    • At the end of the shift 

  For a more detailed understanding of this feature and how it can be used with our other break features, please refer here.

Can maximum hours be overridden when approving timesheets?

This setting is unique to the approval of timesheets, which are managed and approved from Time & attendance > Timesheets. 

For customers who roster and approve shifts in Time & attendance > Approve Shifts, this setting does not affect how your shifts are approved.

  For further reading about timesheets, please refer here

The 'Can maximum hours be overridden when approving timesheets?' setting allows your managers to edit the worked hours on a timesheet to be above the maximum ordinary hours set in a position for the day. 

Employees, however, can submit their hours worked regardless of whether it is above the maximum ordinary per day or not. 

The 'Can maximum hours be overridden when approving timesheets?' can be updated with one of the following options:

    • No (Default) - This will prevent your admins from editing worked hours above the maximum.
    • Yes - This will allow your admins to edit worked hours above the maximum. 

SCENARIO

We'll use the following example to look at the different options for the 'Can maximum hours be overridden when approving timesheets?' setting.

The Customer Services (Senior) position has been set up with a maximum ordinary hours per day of 11. 

What will happen when your admins review an employee with this position and are affected by the different choices from this setting?

  • When No is selected

    With this setting disabled, an admin editing a timesheet will be able to increase the hours up to the maximum of 11 per day.

    Hours entered higher than this value will not be saved. 
  • When Yes is selected

    With this setting enabled, an admin editing a timesheet will be able to increase the hours above the maximum of 11 per day. 

Overtime Settings

Are leave hours included in overtime calculations?

It is common for employees to have both worked hours and leave taken in a pay period. The setting "Are leave hours included in overtime calculations?" allows you to decide whether both leave and hours worked are considered in calculating when overtime triggers. 

With this setting, you have a choice of:

    • Only including worked hours 
    • Including worked hours and paid leave entitlements
    • Including worked hours and all leave entitlements

How to update this setting:

  1. Navigate to the main menu > Awards & Agreements and select your Award or Agreement > Settings.  
  2. From the Award settings list, select Overtime and locate the 'Which leave types are included in overtime calculations?' setting. 
  3. This setting will be set to Yes by default; if you do not require leave to be included in overtime calculations, then select No.
  4. When Yes is selected, the 'Which leave types are included in overtime calculations?' field will be available. In this field, select from the following:
    • All leave types - This includes paid and unpaid leave entitlements. 
    • Paid leave types only - When selected, this setting will only include paid leave types in overtime calculations. 
  5. To save your changes, select Save from the taskbar.

SCENARIO

We'll use the following example to look at the different options for the 'Are leave hours included in overtime calculations?' setting.

Jackson is a full-time employee; for Jackson, overtime is set to trigger after 38 hours per week.

For this example, he works Monday - Wednesday and then takes the rest of the week off.

This week can be summarised as follows:

    • The days he works are 11 hours long.
    • He only has enough annual leave for 1 day and decides, 
    • To take Friday off as unpaid leave.

How will Jackson be affected by the different choices from this setting? 

  • When No is selected

    With this option selected, the worked hours and leave hours are completely separate and do not interact.

    You can see that 33 hours are worked, all are ordinary time, and the total hours for the week are 48.2, none of which is overtime.

    As only worked hours are included in the calculation method, and they have not exceeded 38 hours, overtime has not been triggered. 


  • When Yes is selected - Paid leave types only

    With this option selected, the paid leave (annual leave) is added to the worked hours when calculating the ordinary hours per week.

    As the total worked hours and paid leave have exceeded 38 hours, overtime has been applied to the worked shift on Wednesday.

     
  • When Yes  is selected - All leave types

    With this option selected, both paid & unpaid leave types are added to the worked hours when calculating the ordinary hours per week.

    As the total worked hours and both paid and unpaid leave have exceeded 38 hours, overtime has been applied to the worked shift on Wednesday.

    You'll see that the amount of overtime has increased compared to the previous setting.

Define the time period for ordinary hours before overtime applies *NEW

When setting up a position in your Award or Agreement, you will have specified the maximum ordinary hours for a week, after which overtime will be triggered. 

However, many Awards include provisions that allow for averaging hours worked over periods of 2, 4, 6, or 8 weeks (this will referred to as the averaging period). This approach means that rather than assessing each week separately, you consider the total hours worked within the designated timeframe.

For example, if this setting has been configured so that:

  • The averaging period is 4 weeks, and
  • Positions have a maximum number of ordinary hours per week of 38

This means that when an employee works more than 38 hours in a single week, overtime will not be triggered. Overtime will be triggered when the employee works more than 152 hours (38 x 4) within a specified 4-week averaging period. 

  Please note: This setting utilises a defined averaging period (e.g., every 4 weeks) and does not operate on a rolling basis. Furthermore, it solely impacts period-based overtime, which means that overtime can still be triggered under other circumstances, such as exceeding the daily maximum, working outside of shift hours, or through any other overtime configurations.

Setting up Overtime Averaging

Overtime Averaging is a unique feature as it averages hours worked over multiple pay periods, including periods that have been paid.  As such, there are a few considerations to keep in mind when using other platform features when this setting is enabled. These are listed below:

    • Pay Processing - Overtime averaging combines the hours paid to an employee on their generated payslip (including any added by payslip edits) with the hours on their draft payslip.
      • Once the total hours worked by the employee exceeds the maximum limit, overtime will be applied to the next draft payslip within your averaging period.
    • Pay Period - This feature is available for platforms with weekly, fortnightly, or a combination of both pay periods.
    • Reporting - If you choose to use this feature, the system cannot predict future averaging that has not yet taken place. This will be represented in some reports. Please refer to our section on 'Overtime averaging and effect to reports' at the bottom.


To update this setting:

  1. Navigate to the main menu > Awards & Agreements and select your Award or Agreement > Settings.  
  2. From the Award settings list, select Overtime and then locate the 'Define the time period for ordinary hours before overtime applies' setting. 
  3. Select the relevant timeframe for averaging overtime. 
    • Per week - This applies the maximum ordinary hours per week. 
    • Per fortnight - This averages the maximum ordinary hours over a 2-week period.  
    • Custom Period - This averages the maximum ordinary hours over a more extensive range. 
      • In the Range field, select the length of your averaging period. This can be either: 
        • 4 weeks
        • 6 weeks
        • 8 weeks
  4. After selecting your timeframe, you'll need to specify your current averaging period. This step varies based on the types of pay periods your platform uses. 
    • Only use weekly pay periods
      • Per fortnight - Select which week you are currently in for your averaging period. 
      • Custom Period - Select which week you are currently in for your averaging period. 
    • Use only one fortnightly pay period
      • Per fortnight - With this option, your averaging will be applied to the same two-week period as your pay cycle. 
      • Custom Period - Choose the week you are in for your averaging period. Options will be limited to specific weeks since your averaging period must conclude in the same week as your pay period. 
    • Use a combination of pay periods - When both weekly and fortnightly periods are used. 
      • Per fortnight  - This option allows you to apply averaging over the same two-week period as your pay cycle.
        • Additionally, you will have the choice to apply fortnightly averaging for your weekly pay periods. To do this, select 'Yes' for the 'Use fortnightly period for weekly employees?' setting. 

      • Custom Period - This option allows you to apply averaging over the same 4, 8 or 6-week period for both weekly and fortnightly pay periods.  
    • Use two alternating fortnightly pay periods - This covers when you have alternating fortnightly pay periods.
      • Per fortnight - This option allows you to average for the same two-week period as the pay cycle set in each operation.
        • However, we would advise using separate awards for platforms with alternating pay periods as this is best practice and assists when conducting an annual wage increase (rate rise). 
      • Custom Period - Select the current week of your averaging period; this will create 1 averaging period.
        • For alternating pay periods, you need 2 averaging periods.
        • As you can only have 1 averaging period per award, you will need to set up an additional award for the alternating pay period.
  5. To save your changes, select Save from the taskbar.

  6. Once saved, your current period is displayed in the blue box for quick reference; you can also update this setting by selecting the 'Change' button and repeating these steps.

SCENARIO

We'll use the following example to look at the setting 'Define the time period for ordinary hours before overtime applies'.

Casey works as a Waiter under the Hospitality Industry (General) Award and is paid weekly.

Due to recent demand, Casey has consistently worked 42.5 hours per week in a 4-week period. 

How will Casey be affected by the different choices from this setting?

  • When Per week is selected

    With this option selected, Casey will be paid overtime for each week as she exceeded the maximum of 38 ordinary hours for that week. 

    Overtime will be applied to all 4 weekly payslips individually within this 4-week period. 




  • When Per fortnight is selected

    With this option selected, Casey will be paid overtime for the second week in the fortnight as she exceeded the maximum of 76 (38x2) ordinary hours for the fortnight. 

    Overtime will be applied to the second and fourth week's individual payslips within the 4- week period. This is due to Casey exceeding the maximum hours for the fortnight during these weeks.

      If Casey worked 33.5 hours or less in Weeks 2 and 4, overtime would not trigger as the total ordinary hours for each fortnight would be below the maximum of 76 hours. 



  • When a Custom Period (4 weeks) is selected 

    With this option selected, Casey will be paid overtime for the fourth week in the 4-week averaging period as she exceeded the maximum of 152 (38x4) ordinary hours for 4-week period.

    Overtime will be applied only to the fourth week's individual payslip within the 4-week period. This is due to Casey exceeding the maximum hours for the averaging period during this week.

      If Casey worked 24.5 hours or less for any week within the 4-week period, overtime would not trigger as the total ordinary hours would be below the maximum of 152 hours. 

 

Overtime Averaging and effects to Reports

When you're using Overtime Averaging, there are some things to think about regarding reporting and analytics on your platform since they typically only cover the current week or pay period.

Here’s a list of those considerations:

    • Rostering -  When building your rosters, hours will not be averaged across multiple weeks. The data shown on your rosters is limited to a single week; this includes features like Roster Analytics, Shift Warnings, and Display Settings. 
    • Labour Management Report - This report allows you to view the total hours worked during your 4, 6, or 8-week period. However, any hours exceeding the maximum for your averaging period will not be reflected as overtime in the report, which is crucial to remember when creating your rosters.
      • Overtime will be shown in the report once it’s been triggered and appears on a payslip. 
Should overtime multipliers reset when the shift goes into ordinary hours?

This setting is used for a very specific situation: when a shift moves from overtime to ordinary time and then back for a second round of overtime.

This is most likely to occur when a shift starts at a time that is not covered by your position timeframes, causing it to begin in overtime until the position timeframe is reached. 

Usually, when working overtime, the first few hours are paid at an initial rate (e.g. the first 2 hours at Time and a Half), and then after that, any additional overtime hours are paid at a higher rate (e.g. Double Time thereafter).

This setting determines whether the second round of overtime pay continues on from the first or starts again.

The 'Should overtime multipliers reset when the shift goes into ordinary hours?' can be updated with one of the following options:

    • No - Overtime rates for the second round of overtime continue at the same rate as the first round e.g. If Double Time was triggered, Double Time will continue for the second round. 
    • Yes - Overtime rates for the second round of overtime will reset e.g. Overtime will reset to Time and a Half.

SCENARIO

We'll use the following example to look at the different options for the 'Should overtime multipliers reset when the shift goes into ordinary hours?' setting.

For this example, we will use the position's pay rules as follows:

    • The only timeframe for the position is hours worked between 6 am - 6 pm.
    • Hours outside of the timeframe are paid overtime (Time and a Half for the first 2 hours, Double Time thereafter).
    • The maximum ordinary hours per day is 8 hours. 

John is working a shift that starts at 4 am and finishes at 3 pm.

His shift can be summarised:

    • The hours between 4 am - 6 am will be overtime as this shift starts before the timeframe we have set up for the position.
    • The shift is 11 hours in length, ordinary time is between 6 am - 2 pm. 
    • An additional 1 hour of overtime is applied from 2 pm to 3 pm as this exceeds the maximum ordinary hours per day.

How will John be affected by the different choices from this setting?  

  • When No is selected

    With this setting set to No, the hour of overtime at the end of the shift is paid at Double Time.

    This is due to the fact that 2 hours of Time and a Half overtime have already been earned for this day, and the overtime was not reset. 

  • When Yes is selected

    With this setting set to Yes, the hour of overtime at the end of the shift is paid at Time and a Half.

    As the overtime was reset, the rule for the 'first 2 hours' was applied again. 

Pay overtime after a certain number of days are worked in a pay period?

Many awards have rules regarding the maximum number of days that can be worked in a pay period, as well as the maximum number of consecutive days that can be worked before overtime triggers. This setting is used to automate these rules. 

If you are looking to use this setting, there are 3 key parts that can be updated to manage how overtime can trigger when multiple days are worked in a pay period. These are:

    • Pay overtime after a certain number of days are worked in a pay period?
    • Is there a minimum number of hours per day to trigger overtime?
    • Must the days worked be consecutive?


How to update these settings:

  1. Navigate to the main menu > Awards & Agreements and select your Award or Agreement > Settings.  
  2. From the Award settings list, select Overtime and then locate the 'Pay overtime after a certain number of days are worked in a pay period?' setting. Enabling this setting will allow you to update the other fields. 

    • To update, select Yes.
    • In the 'How many days must be worked before overtime is triggered?' field, specify the number of days in a pay period; overtime will trigger when this value is exceeded.

        Hot tip: You should only enter the weekly value. For platforms paying fortnightly, this value will be doubled for you. 

  3. To update 'Pay overtime after a certain number of days are worked in a pay period?' setting:
    • Select Yes.
    • In the 'What is the minimum ordinary hours required per day?' field, specify the number of hours.

      By updating these fields, you will add this condition to the 'Pay overtime after a certain number of days are worked in a pay period?' setting.

      If an employee works fewer hours than what you have set here, they will not trigger overtime, regardless of the days worked in a period. Other overtime rules still apply.

  4. To update 'Must the days worked be consecutive?' setting:
    • Select Yes.
    • In the 'Once the final consecutive shift is worked, what rest period is required to stop overtime being applied on the next shift?' field, specify the number of hours for a rest period. 

  5. Select which employees these rules apply for:
    • Casual
    • Part time 
    • Full time
  6. To save your changes, select Save from the taskbar.



SCENARIO A - Maximum ordinary days in a period

We'll use the following example to look at how this setting will behave.

A part-time or casual employee may work their ordinary hours by working periods of duty up to 5 days per week.

We'll use the following settings to achieve this.

  • Example 1: Paul is rostered for 38 hours over 6 days (5 x 6-hour days & 1 x 8-hour day)

    In this example, Paul will be entitled to overtime as he has exceeded the 5 days of work for the week specified in the setting.


  • Example 2: Joel is rostered for 38 hours over 5 days (7.6 hours each day)

    In this example, Joel will not be entitled to overtime as he has not exceeded the 5 days of work specified in the setting.

While both employees worked 38 hours, which is typically the maximum ordinary hours for a week, Paul received overtime for exceeding the number of days worked in a week. 

SCENARIO B - Maximum ordinary consecutive days (spanning pay periods)

We'll use the following example to look at how this setting will behave. 

An employee who is rostered to work more than 10 ordinary hours on more than 3 consecutive days, is entitled to a break of at least 48 hours after the last consecutive day on which the employee works more than 10 ordinary hours.

We'll use the following settings to achieve this.

  • Example 1: Carla is rostered to work 4 days (Monday to Thursday) with 10-hour shifts each day.

    As Carla has worked 3 consecutive days at 10 hours each, the following day is paid completely at overtime rates.

      Hot tip: With a rest period of 48 hours specified, Carla would be fine to work a shift commencing 6pm on Friday.

  • Example 2: Cassie is rostered to work 4 days (All weekdays except Wednesday) with 10-hour shifts each day.

    Although Cassie has worked the same number of hours as Carla (example 1) and the same number of days in the week, she does not get paid overtime as she did not work 3 days consecutively.

  • Example 3: David is rostered to work 4 days (Monday to Thursday) with 8-hour shifts each day.

    Although David is working the same number of consecutive days as Carla (example 1) as his shifts are less than 10 hours, he does not qualify for overtime.

Rest Period Settings

How do daily ordinary hours reset?

When the daily maximum ordinary hours are exceeded, an employee will start to earn overtime. This rule extends to multiple shifts, too.

This setting determines when your daily ordinary hours count resets, marking the start of a 'new day'. 

The setting 'How do daily ordinary hours reset?' can be updated with one of the following options:

    • Daily - Ordinary hours reset at midnight. 
    • After a rest period - Ordinary hours reset after a specified rest period.

SCENARIO

We'll use the following example to look at the different options for the 'How do daily ordinary hours reset?' setting.

John is working a shift from 3 pm - 11 pm (8 hours). The next day, he works another shift from 8 am - 4 pm. 

The position for this example is set up with a maximum ordinary hour per day of 10 hours.

How will John be affected by the different choices from this setting?

  • When After a rest period is selected

    We'll use the default rest period of 10 hours for this example, but this value can be changed.

    As the first shift was only 8 hours long, and the break between the two shifts was less than 10 hours (9 hours between), the daily ordinary hours continued for the second shift, even though it is on a new day.

    In this case, the first 2 hours of the shift are ordinary time (completing the maximum daily ordinary hours of 10 set on the position) and the remainder of the shift is overtime.

  • When Daily is selected

    With this option selected, both shifts are in ordinary time as the second shift started on a new calendar day.

    The duration between shifts is irrelevant across multiple days when this option is enabled. Overtime can still trigger if multiple shifts are worked on the same calendar day and the total hours exceed the ordinary hour maximum. 

When a shift ends in overtime, is a rest period required to end the overtime?

During busy times, there may be occasions when an employee works multiple shifts without a rest period in between each shift, which may result in overtime. 

This setting is used to manage a specific situation. When an employee works their first shift that ends in overtime, how will each subsequent shift be treated if they have not had a rest period. 

How to update this setting:

  1. Navigate to the main menu > Awards & Agreements and select your Award or Agreement > Settings.  

  2. From the Award settings list, select Overtime and then locate the 'When a shift ends in overtime, is a rest period required to end the overtime?' setting; to update, select Yes.

  3. When Yes is selected, the following fields will become available: In the 'Rest period required to end overtime' field, specify the hours required for a rest period. 
  4. In the 'Pay rate when rest period not met' field, choose from the following:
    • Standard overtime rate - This will apply the relevant overtime rules for the second shift. 
    • Choose other rate - You can select a specific rate at which the second shift is to be paid, e.g. Double Time, Doule Time and a Half. 
  5. In the 'Paid until employee has rest period of' field, specify the hours required for a rest period. 
  6. You can add a custom payslip title in the 'What payslip label should display for this payment?' field. 
  7. To save your changes, select Save from the taskbar.

SCENARIO

We'll use the following example to look at the 'When a shift ends in overtime, is a rest period required to end the overtime?' setting.

Carla is a casual worker who was called in to work various shifts on Monday, Tuesday and Wednesday; the time between each of these shifts is less than 10 hours. 

The position Carla works has a daily maximum ordinary hours set as 10 hours and a rest period of 10 hours. 

How will Carla be affected by the different choices from this setting?

  • The 'Rest period required to end overtime' is set at 10 hours

    When this setting has been set as 10 hours, any second shift starts within 10 hours of the first shift. The second shift will have the appropriate rate applied.

    We can see this with Tuesday's shift, as this shift starts within 10 hours of the end time from  Monday's shift. For this example, the standard overtime rates option has been selected, and Tuesday's overtime rules are being applied. 

      Hot tip: 
    When selecting which rate to apply for this setting, you can choose between any ordinary or overtime rate set up in your rate labels.



  • The 'Paid until employee has rest period of' is set at 10 hours

    When this setting has been set as 10 hours, this will continue to pay the appropriate rate for any sequential shifts, e.g. Third or Fourth shifts, etc, until the rest period is met.   


    We can see this with Wednesday's shift, as this shift starts within 10 hours of the end time from  Tuesday's shift. As Carla has not had her rest period overtime rules are being applied for Wednesday. 
Pay overtime/penalty rate for insufficient rest between shifts *NEW


In some awards, your employees may be entitled to receive a higher rate of pay, or overtime, when they do not have a sufficient rest period between shifts. This commonly can happen when an employee is called back to work.

This setting allows you to automate the process of assigning a higher rate of pay, or overtime when your employees work a second shift within a specified time period.  

How to update this setting:

  1. Navigate to the main menu > Awards & Agreements and select your Award or Agreement > Settings.  

  2. From the Award settings list, select Overtime and then locate the 'Pay overtime/penalty rate for insufficient rest between shifts' setting; to update, select Yes.

  3. When Yes is selected, the following fields will become available: In the 'Minimum required rest between shifts' field, specify the hours required for a rest period. 
  4. In the 'Pay rate when rest period not met' field, choose from the following:
    • Standard overtime rate - This will apply the relevant overtime rules for the second shift. 
    • Choose other rate - You can select a specific rate at which the second shift is to be paid, e.g. Double Time, Doule Time and a Half. 
  5. You can add a custom payslip title in the 'What payslip label should display for this payment?' field. 
  6. To save your changes, select Save from the taskbar.

SCENARIO

We'll use the following example to look at the different options for the 'Pay overtime/penalty rate for insufficient rest between shifts' setting.

Eleni is a Health Care worker on the Health Professionals and Support Services Award.

On Monday, Eleni works a shift from 6 am - 11 am. However, she is then called back into work and works a second shift from 2 pm - 5 pm.

As she was called back, the break between the end of her first shift and the start of her second shift was less than the 10-hour rest period.

  Please note:
This will apply for any time gap, less than 10-hours between shifts, even if it is a minute. 

How will Eleni be affected by the different choices from this setting?

  • When the Standard overtime rate is selected

    In this example, Eleni will be entitled to overtime as the break between her shifts was less than the 10-hour rest period.

    Eleni's second shift uses the regular overtime rulings for Monday, this being Time and a Half for the first 2 hours, then Double Time thereafter. 



  • When Choose other rate is selected

    In this example, Eleni will receive a higher rate of ordinary time for her second shift due to the break between her shifts being less than the 10-hour rest period.

    Eleni's second shift triggered the higher rate of ordinary time, as this was the rate specified in the system setting.

    When selecting which rate to apply for this setting, you can choose between any ordinary or overtime rate set up in your rate labels

Split Shift Settings

Set up automatic split/broken shift payments? *NEW


It can be common in some awards, such as Cleaning Services, Restaurant Industry, or Fitness Award, for your employees to receive an allowance when they work multiple shifts in a day. This allowance can be known as a split shift or broken shift allowance.

Once configured, this setting will automatically apply the chosen amount to approved split shifts when the award criteria are met. This includes any shifts worked across different rosters and operations.

  Hot tip: As the second shift triggers the split shift allowance to be paid, you will see the allowance attached to the second shift in the Award test; see the scenarios below. 

When configuring this setting, you have the choice to either:

    • Create a new allowance, or
    • Select an existing day or shift allowance set up in your award. 

How to update this setting:

  1. Navigate to the main menu > Awards & Agreements and select your Award or Agreement > Settings. 

  2. From the Award settings list, select Split Shifts and then locate the 'Set up automatic split/broken shift payments?' setting; to update, select Yes.

  3. When Yes is selected, the following fields will become available:
    • 'How many different allowance rates can be paid for a split/broken shift?' - Specify how many split shift rates apply. This can either be One or Two. 

      Selecting to set up 2 rates will allow you to create 2 options for how the Split Shift Allowance will apply.  The allowance rate that applies will depend on the duration set. 

      For example, you can set up the rules so that an allowance rate of $3.41 will apply when the break between shifts is between 2-3 hours. However, if the break between shifts is greater than 3 hours, an allowance rate of $5.16 will apply instead. 

    • 'Apply split shift allowance across different positions' - This setting applies to employees who work multiple positions from the same award. Select which option applies from:
      • No - The allowance will apply when both shifts worked are from the same position. 
      • Yes - The allowance will apply when both shifts worked are from any position in the award. 
  4. To set up your split shift allowance rules, please fill in the specified fields to complete the sentence:
    • If specify the type of employee
      • a causal employee - Allowance will only apply to employees with casual positions. 
      • a full/ part time employee - Allowance will only apply to employees with permanent positions. 
      • any employees - Allowance will apply for both casual and permanent employees.
    • works 2 or more shifts, of specify shift duration
      • 1+ hours per shift
      • 2+ hours per shift
      • 3+ hours per shift
      • 4+ hours per shift

        When choosing your shift duration, please take into consideration your rostering practices.

        If your business regularly rosters employees across multiple rosters/ operations, you may wish to choose a larger shift duration, as this setting will only apply the allowance when both shifts exceed the set duration. 
    • within a specific a time period
      • calendar day - The second shift's start time is on the same calendar day as the first shift.

        E.g. If the first shift ends at 9 pm and the second shift starts at 11 pm, the split shift allowance will apply to the second shift even if the shift exceeds midnight. 

      • time span of x hours - The second shift start time is within x hours of the first shift start time, this includes across multiple days. 

        E.g. If the first shift's start time is 9 am, and the span of hours is set to 12. The second shift's start time will need to be at or before 9 pm to apply the split shift allowance. 
    • And the time between shifts is x or more
      • When setting up 1 allowance - Specify the minimum hours required for a break between shifts.
      • When setting up 2 allowances - Specify the minimum and maximum hours for the break between shifts to which the allowance applies. 
    • pay specify allowance (complete this twice when setting up 2 pay rates) 
      • a new allowance - When this is selected, the allowance will be added to your platform by specifying a pay rate and selecting an interval (per day or per shift). 

          Hot tip: You can specify any variables such as Payroll tax, Public liability and Workers compensation by selecting the settings (cog) icon, next to your allowance name.

      • an existing allowance - Select an existing day or shift allowance from this award in the dropdown list. 
  5. When adding a new allowance, you can add a custom payslip title in the 'Label this allowance on their payslip as' field. 
  6. To save your changes, select Save from the taskbar.

SCENARIO A

We'll use the following example to look at the different options for the per shift / per day setting.

Max is a part-time waiter who works at a late-night restaurant that pays their employees under the Restaurant Industry Award. 

On Thursday, Max works a shift from 11 am - 4 pm. However, he was called in to work a second shift from 8 pm - 11 pm.  

How will Max's Split Shift Allowance be affected by the different choices for this setting?

  • When Per shift is selected

    In this example the Split Shift Allowance will be applied to each shift worked for the day.

    Max will receive 2 allowances: one for the 11 am - 4 pm shift and another for the 8 pm - 11 pm shift.

    This will apply to each shift that meets the criteria. In this example, the time between shifts is set as 2 hours, so this allowance would apply for all shifts in a day where the break between shifts is greater than 2 hours.




  • When Per day is selected

    In this example, Max has the Split Shift Allowance being applied once. 

    When Max worked the 8 pm to 11 pm shift, he triggered the Split Shift Allowance. However, since this allowance is applied once per day it is triggered, only one allowance is applied regardless of how many shifts he works on the same day.


SCENARIO B

We'll use the following example to look at the different options for the time between shifts setting.

Matthew is a part-time bartender who works at a tavern that pays under the Hospitality Industry (General) Award. 

During a busy week, Matthew worked 2 sets of split shifts:

  • On Monday, his first shift is from 9 am to 1 pm, followed by his next shift from 3 pm to 8 pm, with a 2-hour break in between.

  • For Wednesday, his first shift is from 10 am to 1 pm, followed by his next shift from 5 pm to 10 pm, with a 4-hour break in between.

How will the length of the break between Matthew's shifts affect the different choices from this setting?

When setting up your Split Shift Allowance automation, you can choose to apply up to 2 different pay rates. These rates are based on how long the break between the shifts is.

In the example below, we can see that two different Split Shift Allowance rates are being applied.

  • On Monday, an allowance with a rate of $3.41 has been added due to the break between the shifts being under 3 hours.

  • However, for Wednesday, the allowance rate is $5.16 due to the 4-hour break between shifts, which is greater than 3 hours.


Public Holidays Settings

Default method for approving "Paid, not worked" public holiday shifts? *NEW

One of the great things about living in Australia is all the public holidays we get. Keeping that in mind, it's essential to make sure your employees are paid properly.

It's especially important to think about your permanent employees because, in some cases, they might still be entitled to payment for a Public Holiday even if your business isn't open.

When your business is closed, you can pay your permanent employees by assigning them a 'Public holiday, not worked' shift.  The settings for these shifts can be customised per award by:

    • Applying a default payment method.
    • Creating a creating a custom payslip and reporting label. 
    • Allowing your admins the option to edit which rate is applied. 

  If you want to know how public holidays affect your business, take a look at the Fair Work article on Public Holidays.

Updating your Public Holiday settings:

  1. Navigate to the main menu > Awards & Agreements and select your Award or Agreement > Settings. 

  2. From the Award settings list, select Public Holidays.

  3. To customise your Public Holidays, update from the relevant settings below:  
    • 'Default method for approving "Paid, not worked" public holiday shifts'
      • Pay only base rate - The entire shift is paid at the employee's base rate. No shift rates or penalties will apply.
        • This is also known as the extra award interpretation used for Enterprise Agreements.
      • Pay normal rates - The shift is paid for that day's standard pay with all relevant shift rates and penalties applied.
    • 'Allow override of default method in approve shifts?'
      • No - When approving a 'Public holiday, not worked' shift, you will not have the option to specify which rate the shift is to be paid. The shift rate will be paid based on the 'Default method for approving "Paid, not worked" public holiday shifts' setting. 
      • Yes - When editing a 'Public holiday, not worked' shift in approve shifts, your admin users can select whether the shift is paid at the base rate or the normal rate.

    • 'What payslip label should display for "Paid, not worked" public holiday shifts?'


      With this setting, you have the option to customise how your 'Public holiday, not worked' shifts display on the employee's payslip and in financial reports.

      • With a Custom Label - To update, add your custom label to the 'What payslip label should display for "Paid, not worked" public holiday shifts?' field, e.g. Public Holiday - Not Worked, Public Holiday Observed. 



        As shown in the image above 22.5 hours have been approved as 'Public holiday, not worked' shifts. On the payslip, they have been added as their own line item with the label 'Public Holiday - Not Worked'.

              
      • Without a Custom Label - You can leave this field blank, and the hours will be grouped with your employee's regular ordinary hours. 



        As shown in the image above, the 22.5 hours approved as 'Public holiday, not worked' have been included in the Normal (Ordinary) line item as they are paid at the same rate.
             
    • 'Pay base rate above maximum ordinary hours limits on public holidays not worked?'

      This setting only applies when the 'Default method for approving "Paid, not worked" public holiday shifts' setting has been set to 'Pay only base rate'.
      • No - When a 'Public holiday, not worked' shift is approved, any hours that exceed the maximum for ordinary time will be excluded from the payslip. 
      • Yes - When a 'Public holiday, not worked' shift is approved, any hours that exceed the maximum for ordinary time are included on the payslip and paid at the employee's base rate. 
  4. To save your changes, select Save from the taskbar.

SCENARIO A

We'll use the following example to look at the different options for the 'Default method for approving "Paid, not worked" public holiday shifts?' setting.

Sammie is a full-time Buffet Supervisor who works at a late-night Club that pays their employees under the Registered and Licensed Clubs Award.  

He works every Wednesday from 3 pm - 11 pm. However, this week, the Club is closed for Christmas, and he will need to be rostered for a 'Public holiday, not work' shift.

How will Sammie's pay be affected by the different choices for this setting?

  • When Pay only base rate is selected

    In this example, we can see that the entire shift has been paid at Sammie's base rate of $28.87. Although this shift has hours approved after 7 pm, no shift penalties or rates have been applied.



  • When Pay normal rates is selected

    In this example we can see that a shift penalty has been applied for the hours worked from 7 pm.

    This setting will apply any shift penalties or rates related to this shift as if Sammie had worked it on a typical Wednesday.

  Please note:  No matter what option is chosen, if an employee goes over the maximum ordinary hours for a 'Public Holiday, Not Worked' shift, overtime will not be applied.

Also, the additional hours might not be included on Sammie's payslip. Whether they do or not will depend on the choice made for the 'Pay Base Rate Above Maximum Ordinary Hours Limits on Public Holidays Not Worked?' setting.

SCENARIO B

We'll use the following example to look at how the different options for the 'Pay base rate above maximum ordinary hours limits on public holidays not worked?' setting.

Katie is a full-time supervisor on an award that allows for a maximum of 38 ordinary hours each week. However, she typically is rostered and works 40 hours each week.

However, her workplace will be closed on Friday for a Public Holiday, and she will need to be rostered for a 'Public holiday, not work' shift.

How will Katie's pay be affected by the choices for this setting?

  Hot tip: This setting only applies when the 'Pay only base rate' option has been selected. 

  • When No is selected

    In this example, we see that on Friday, during the 'Public holiday, not work' shift, only 6 hours of ordinary time are being applied.

    This is because the total ordinary time for the week exceeds the maximum limit of 38 hours. As a result, the remaining 2 hours will not be included on the employee's payslip.



  • When Yes is selected

    In this example, we see that on Friday, during the 'Public holiday, not work' shift, all 8 hours of ordinary time are being applied.

    Even though the total ordinary time for the week exceeds the maximum limit of 38 hours the additional 2 hours are included on the employee's payslip and paid at their base rate.