Welcome to the Spring '25 Tempus Update. With the clocks changing and the Labour Day holiday approaching, we've created this straightforward guide to help you manage these seasonal adjustments with confidence and ease, ensuring your payroll remains accurate and compliant.
Navigating Daylight Saving Time
As New Zealand adjusts its clocks for daylight saving, it's important to know how this affects employees working overnight shifts to ensure they are paid correctly.
When Daylight Saving Starts (Clocks Go Forward)
On the last Sunday in September at 2:00 a.m., clocks jump forward one hour to 3:00 a.m. This results in a 23-hour day, meaning employees on an overnight shift will work one hour less.
Whether you pay for the full shift or only the actual hours worked depends on your employment agreements and company policy.
We recommend documenting your policy and communicating it clearly in advance. To avoid disputes, best practice is often to pay for the full, standard shift.
If you wish to pay your staff for this "lost" hour, you must add this to their timesheet as a separate 1.00hr line item for their shift on the last Sunday of September.
HOW-TO ARTICLE: Managing Daylight Savings Changeover
Preparing for Labour Day
With Labour Day approaching, it signals the start of the holiday season. Now is a great time to refresh on how to manage public holidays correctly in your timesheets. The key question to ask first is always: "Would the employee have normally worked on that day?" This typically determines their entitlement.
Here are the most common scenarios
If an employee does NOT work on a public holiday: If it's an otherwise working day for them, they are typically entitled to be paid. You should select the 'Public Holiday not worked' work type in their timesheet.
If an employee WORKS on a public holiday: They are typically paid time-and-a-half for the hours they work and are usually also entitled to an alternative holiday. You should select the 'Public Holiday worked' work type.
If an employee is SICK on a public holiday: If there was an expectation to work, they are still typically entitled to a paid public holiday. This should be recorded as 'Public Holiday not worked' and should not be deducted from their sick leave balance.
HOW-TO ARTICLE: Managing Public Holidays in the Timesheets
On-Call on a Public Holiday
Managing pay for employees on-call during a public holiday can be complex, as entitlements depend on specific circumstances, such as whether they are called in and how restricted their day is.
If an employee is on-call but NOT called in: If their freedom is significantly restricted (e.g., they must stay near the workplace), they are typically entitled to their normal public holiday pay AND an alternative holiday.
If an employee is on-call AND called in to work: They are typically entitled to be paid time-and-a-half for the hours they actually worked, plus a full alternative holiday. Note that under the Act, they are not usually paid for the hours of the day they did not work.
Because these situations are highly specific, we strongly advise you to contact the support desk before the public holiday to discuss any on-call arrangements you are unsure about. Our team is here to assist.
Summary
The Tempus team is here to support you. If you have a question or need further assistance, please contact us - we will be happy to help!
If you’re not yet using Tempus and want to simplify your payroll process, talk to us today about getting started.