134 0 obj <>stream Shift Differential Pay Shift Differential Pay Though many employers choose to pay a small premium, called a “shift differential,” to employees who work swing, graveyard or other less desirable shifts, no law requires you to pay a shift differential. in compliance with the policies.In collaboration with HR Compensation, a department head, or other designated official, shall determine the exact hours of the second and third shift operations. Description Night pay is a 10 percent differential paid to an employee for regularly scheduled work performed at night. Pay differentials are considered premium pay for the purposes of this policy. 0 A typical shift differential schedule consists of hours worked between 5:00 p.m. and 8:00 a.m., Monday through Sunday. The shift differential is typically 10% of the staff member's regular hourly rate, but the amount may vary based on industry standards and according to job family. C. A qualifying shift means a full-time or established part-time shift which starts at or after 2 p.m. and at or before 1 a.m. D. The regular rate of pay is calculated by determining the staff member's total pay for the workweek, including base rate, shift differential pay, … iv. In your shift differential pay policy, be sure to include: A rundown of which shifts are covered by the policy The amount you’ll increase pay for those shifts Any special cases when employees can receive shift differential pay outside of the shifts you describe in #1. The following examples provide guidance on how to calculate overtime for employees who receive shift differential pay. The Shift Premium Pay policy defines compensation pay rates for covered employees, eligible hours, and the effect shift premium has on annual base pay. It should also be noted that within the healthcare industry, nurses are offered shift pay 48% of the time while physicians are only offered shift pay about 10% of the time. Differential pay is company policy and not regulated by wage and hour laws, so there is no standardized way to make the premium rate payments. 111 0 obj <> endobj How to Determine the Premium Rate. SECTION: Bilingual Pay DATE: August 24, 1999 PREPARED BY: Angela Carman PAGE: 1 REVISION DATE: May 1, 2005 APPROVED BY: AUTHORITY District’s Memorandum of Understanding, Section 5.Q., Bilingual Differential Pay. endstream endobj 115 0 obj <>stream On an individual campus the shift differential rate may vary by job title as approved by the Vice President, Human Resources or a designee. An employee will either receive a 7½ percent differential for an entire shift or a 10 percent differential for an entire shift if a majority of hours worked occur during the hours authorized for a night shift … Determine if the night shift differential will increase holiday pay and if employees who are … Employers should have a shift pay policy in place that outlines which hours are eligible for premium pay. Employees will not receive shift differential on earned time cashed in. A differential rate of pay shall be added to the regular rate of pay for employees working on recognized second and third shift operations. The differential is not a part of the employee’s basic annual salary and does not affect … In addition, shift differential pay shall be addressed in accordance with applicable KCTCS policies and human resources procedure(s) regarding pay and scheduling. Should the emergency cause the employee to continue to work beyond 24 hours without adequate rest of eight (8) hours off the clock, each hour after 24 hours will be paid at a rate twice the employee's regular rate of pay (ETP). Yes, all shift differential pay must be included in the calculation of the regular rate of pay used to compute an employee's overtime rate. A personal care assistant at an assisted living facility is paid $8 an hour and overtime on the basis of the 40 hour workweek system. %PDF-1.6 %���� The differential for a shift change of two hours or less is a onetime payment of $14. �H���H:Q��ԍ��^x�����-��ؑ���? �t��}ĀW�H_z�8I��� Mp�'�tPM�+6�Jh��T"es� Most businesses will outline how shift differentials work, if they’re offered, in the employee handbook.Usually, however, differential Shift differential is additional compensation paid at the discretion of vice presidents to non-exempt TEAMS, USPS, and OPS employees (excluding UF Police Department officers) who work during certain “premium” shifts, defined as follows: Evening Shift If at least half of the hours of an employee’s shift are worked between 5 p.m. and 12 midnight, 5 percent will be added to the employee’s base rate of pay for that entire shift. Example: Single Shift Differential . executive special pay, head nurse differential, other differentials, allowances or premium pay such as standby, on-call, shift, overtime, Sunday, holiday, night work, hazardous duty, and interim geographic adjustment. The amount must be approved by Human Resources. The additional compensation may be designated as a percentage of the basic salary or a fixed dollar amount. Emergency rest time earnings are included in the calculation of the overtime (FLSA) rate.