How Daylight Saving Time Affects Overnight Pay

With daylight saving time commencing on 6 October 2024, overnight workers will face a one-hour time shift as clocks move forward. Despite working fewer hours, employees should still be paid for the full shift based on the time shown on the clock. 

Certain modern awards have specific provisions addressing daylight saving adjustments, such as: 

“For shifts that span the start or end of daylight saving, as outlined by state or territory legislation, an employee will be compensated based on the clock time when the shift begins and ends.” 

To avoid confusion, employers should refer to their industrial agreements for any clauses that address daylight saving. If there are no clauses addressing this, payment should be made based on clock time, meaning employees will be paid for the full shift even if they work fewer hours due to the time change. 

Example: 

James works under an Award that is silent on daylight saving. His shift is from 10:00 pm to 6:00 am. 
 
When daylight saving begins, the clock moves forward by one hour during his shift. 
 
Even though James worked only 7 hours, he will still be paid for 8 hours based on the clock time. 

When daylight saving ends, the clock will move back an hour.

This means James works 9 hours but is still paid for 8 hours based on the clock. 

Reference: Daylight Saving and Shift Work (1971) AR (NSW) 887 — The ruling states that the period worked should be calculated based on the clock at the beginning and end of the shift. 

At IR BLOTS, we understand that a successful agreement is one that not only complies with legislation but also ensures a smooth voting process and fair treatment for all employees. By addressing issues like daylight saving pay in advance, you can avoid confusion and ensure a positive outcome. 

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