As of the 6th of May 2019, changes to the Employment Relations Amendment Act 2018 requires employees to have set paid and unpaid breaks throughout their work day. The number and length of these breaks will depend on the duration of hours worked.
This is covered in further detail by MBIE on their website here: Rest and Meal Breaks
With PayHero's mobile clock function, you can automate these breaks for your employees. PayHero will then apply an unpaid or paid break depending on the duration of the break recorded by the employee and when it was taken within their shift.
Apply Paid Breaks
To begin using automated paid breaks in PayHero Shift first go to Manage > Settings > Payroll Settings. At the bottom of the page, select the checkbox for Apply Paid Breaks as shown below:
Note that this function will only apply if employees use the Start Clock function via the Employee Mobile App to record their hours, and pause the timer to record their breaks.
Paid vs. Unpaid Break Duration Rules
The automated breaks will be calculated based on the duration of the break taken.
Paid Breaks
If the recorded break is less than 20 minutes it will be treated as a paid break. Only 10 minutes of the break will be applied as a Paid break - any break time over 10 minutes but less than 20 minutes will be unpaid.
Unpaid Breaks
If the recorded break is greater than 20 minutes it will be treated as an unpaid break.
Shift Duration and Frequency of Breaks
The table below covers the minimum rest and meal breaks an employee is entitled to and the rules applied by PayHero reflect this. The type of break being taken uses the Paid vs. Unpaid rules outlined above.
Total Duration of Employee Shift | Number of Breaks Allowed |
2.00 - 4.00 Hours | 1 x 10 Minute Paid rest break |
4.01 - 6.00 Hours | 1 x 10 Minute Paid rest break First 30 Minute Unpaid meal break |
6.01 - 10.00 Hours | 1 x 10 Minute Paid rest break First 30 Minute Unpaid meal break 1 x 10 Minute Paid rest break |
After the 10 hour point the following breaks apply, in addition to the breaks laid out above:
Total Duration of Employee Shift | Number of Additional Breaks Allowed |
10.01 - 12.00 Hours | 1 x 10 Minute Paid rest break |
12.01 - 14.00 Hours | 1 x 10 Minute Paid rest break Second 30 Minute Unpaid meal break |
14.01 - 16.00 Hours | 1 x 10 Minute Paid rest break Second 30 Minute Unpaid meal break 1 x 10 Minute Paid rest break |