Public Holidays - On Call
Given the many public holidays at this time of year, the following article is a quick reminder of the general guidelines for 'on call' employee's entitlements.
'On Call'
We are referring to a specific arrangement where the employee is paid (either a specific 'on call' payment or rate or allowed for within a salary) to be available outside of usual working hours if required. If the employee is actually required, there is then usually a 'call out' rate.
If the employee is on call on a public holiday, the employee is not actually working (unless they are 'called out') but is available to work, if required and this may place restrictions on their use of their public holiday time. The nature or extent of the restriction(s) affects what entitlements flow from the Holidays Act. General concepts.
On call, but not called out to work – when alternative day applies:
- There will usually be a contractual payment for being 'on call'. (The employee is not entitled to 'time and a half' for the contractual 'on call' payment unless your employment agreement provides otherwise);
- If the employee is required to restrict activities on the on call public holiday to the extent that 'if the nature of the restriction on the Employee's freedom is such that for practicable purposes they have not had a whole day of holiday' then they may be entitled to an alternative holiday if some conditions apply.
- Put in plain English : If the Employee has not enjoyed a full holiday – for example, if the employee is required to stay at home all day, but is not called out – the employee is entitled to any 'on call' payment and an alternative holiday if the day would otherwise be a working day (OWD) for them * See conditions below;
- If the employee is on call, but is not required to restrict activities – for example, if the employee can choose not to accept the call-out – entitlement to an alternative holiday would arise only if the employee accepts a call-out and the day would otherwise have been a working day for the employee.
- On call and called out
If the employee is called out, they are entitled to at least time and a half for the actual hours worked,(your employment agreement may provide for more) plus an alternative holiday if the day would otherwise be a working day for them. - On call not called out to work – freedom restricted.
If the 'on call' public holiday falls on an otherwise working day, e.g. a normal day of work for the employee (for example a Monday, the employee usually works Monday to Friday, but the business is closed for the public holiday) the employee would receive any contractual on call payment. If the 'on call' restrictions were such that the employee has not enjoyed a full holiday, the employee would also be entitled to an alternative holiday. - On call and is called out to work – freedom restricted.
If the 'on call' public holiday falls on a normal day of work (OWD) for the employee (for example a Monday, the employee usually works Monday to Friday, but the business is closed for the public holiday) and the employee is called out, the employee would be entitled to receive any contractual on call payment, plus any extra payment at time and a half for the actual hours worked at whatever the negotiated rate is, and the employee would also be entitled to an alternative holiday. Note that in this example, under the Holidays Act entitlements, the employee could, in some cases, think they are financially 'worse off' in the short run having to work, than where he is not called out, if the call out is for a short period. This is because payment for the alternative day cannot be made within 12 months.
An otherwise working day may be understood as:
A fixed, agreed day of the week that work is done; or
a normal, or usual, or regular, or scheduled or planned day of work.
Irregular days of work are not 'otherwise working days'.
* Entitlements to an alternative holiday do not apply where the person called out is only employed by the employer only on public holidays, or is only on call for public holidays (i.e. it is not an otherwise working day).