Daylight Saving Time and Tempus Payroll
This guide provides a technical breakdown of how Daylight Saving Time (DST) changes impact timesheet data and payroll calculations for employees working overnight shifts.
Understanding the Time Shift Phenomenon
In New Zealand, clocks advance by one hour at 2:00 a.m. on the last Sunday in September and revert by one hour at 3:00 a.m. on the first Sunday in April. These shifts create either a 23-hour or a 25-hour day, which can cause discrepancies between standard shift durations and the actual hours worked.
Daylight Saving Start (Clocks Advance)
When clocks "spring forward," the hour from 2:00 a.m. to 2:59 a.m. ceases to exist for that day, resulting in a shorter workday for overnight staff.
Technical Example:
Standard Shift: An employee is scheduled to work from 10:00 p.m. Saturday to 6:00 a.m. Sunday, which is a standard 8-hour shift.
DST Impact: At 2:00 a.m., the time instantly becomes 3:00 a.m.
Actual Hours Worked: The employee works from 10:00 p.m. to 2:00 a.m. (4 hours) and then from 3:00 a.m. to 6:00 a.m. (3 hours). The total physical time worked is 7 hours.
Timesheet Action:
An employee's pay for this shift is determined by their employment agreement or company policy. If your policy is to pay for the standard 8-hour shift to avoid disadvantage, a manual adjustment in Tempus is required.
To pay the full 8 hours, you must add the "lost" hour to the timesheet as a separate 1.00-hour line item for the shift on the last Sunday of September. This corrects the discrepancy between the 7 hours worked and the 8 hours paid.
Daylight Saving End (Clocks Revert)
When clocks "fall back," the hour from 2:00 a.m. to 2:59 a.m. is repeated, resulting in a longer workday for overnight staff.
Technical Example:
Standard Shift: An employee is scheduled to work from 10:00 p.m. Saturday to 6:00 a.m. Sunday, a standard 8-hour shift.
DST Impact: At 3:00 a.m., the time instantly reverts to 2:00 a.m.
Actual Hours Worked: The employee works from 10:00 p.m. to 3:00 a.m. (5 hours), and then works the repeated hour from 2:00 a.m. to 6:00 a.m. (4 hours). The total physical time worked is 9 hours.
Timesheet Action:
Employers are legally required to pay for all hours worked. Standard clock-in/out entries may only calculate 8 hours for this shift, creating a payroll error.
To ensure compliance, you must manually add the additional hour to the timesheet. This should be entered as a separate 1.00-hour time entry to reflect the repeated hour worked.