Question from Alani Short ([email protected])
Hello! We have a workforce made up predominantly of casual employees, paid by the hour. Our timekeeping & payroll system rounds every employee’s clock on times to the nearest 15 minutes, ie, if they clock in at 9.07am, it will round down to (and pay them from) 9.00am, or if they clock in at 9.08am, it will round to 9.15am and pay them from that time. The reality is that on some occasions, this rounding will work in the employee’s favour, and on some occasions, not in their favour, therefore it should (hypothetically) balance out and be fair and reasonable for both the employee and employer.
We understand that the Fair Work Act requires casual employees to be paid for all time worked, but it seems practically unrealistic (or impossible??) to arrange payment for minutes (or seconds??) that are worked. Are you able to advise on our obligations here, and how to practically make it work?
Apologies in advance for the delayed response.
Firstly, you must pay the casual employees for all hours that you require them to work. If they attend the workplace and clock in before the rostered start time, or linger after their rostered finish time and clock off, then you don’t have to pay them for this time.
Secondly, if your employee is a person entitled to overtime then you must keep a record of overtime hours actually worked – and you must correct that record if it is inaccurate. For this reason, I think you should reduce or eliminate the rounding, because if it is a record of overtime worked it needs to be accurate.