Frequently Asked Questions
Policy Number 306 - Shift Differential
1. My department was unaware of the University Shift Differential Policy. Can
I receive shift differential retroactively?
The Administrative Unit Head or designee must recommend the utilization of
shift differential. A letter must be submitted to the Compensation Office in the
Division of Human Resources in order to establish shift differential for a
specific position. Shift differential is not paid retroactively.
2. My regular workweek includes Saturday hours from 9:00 a.m. to 5:00 p.m.
Should I receive shift differential for the hours I work on the weekend?
No. To be eligible to receive shift differential, six or more of your weekend
hours worked would have to be between 5:00 p.m. and 8:00 a.m.
3. Does shift differential pay have to be included in the calculation of
overtime?
Yes, all shift differential pay must be included in the calculation of the
regular rate of pay used to compute an employee's overtime rate. The regular
rate of pay is calculated by determining the staff member's total pay for the
workweek, including base rate, shift differential pay, etc. and dividing by the
total number of hours worked. The staff member is paid one and one-half times
the regular rate of pay for all hours worked over forty in the workweek.
Example:
A non-exempt weekly-paid employee works Monday through Friday, 3 p.m. to
12:00 midnight (40 hours) and Saturday from 8:00 a.m. to 5:00 p.m. (8 hours).
His base hourly wage is $10.00 per hour, and he receives a shift differential of
10% ($1.00 per hour).
Total hours worked: 48
Hours subject to shift differential: 40
Compensation at base hourly rate (48 hours x $10.00/hour): $480
Total shift differential pay (40 hours x $1.00/hour): $40
Total regular compensation ($480 + $40): $520
Regular Rate of Pay (total regular compensation/ total hours)
($520/48 hours): $10.83
Hours subject to overtime pay: 8
Overtime compensation (Regular Rate of Pay x overtime hours x .5)
($10.83 x 8 x .5): $43.33
Total Pay for week (Total regular compensation + overtime compensation)
($520 + $43.33): $563.33
4. Is shift differential earned/paid during periods of paid leave (paid
time off (PTO), sick time, holidays)?
Yes, to receive the shift differential for PTO, Holiday, and Sick Time, a
staff member must work on a shift differential eligible shift both the day
before and the day after his/her day off.
5. Are monthly-paid (exempt) staff members eligible for shift differential
pay?
In accordance with current industry standards, monthly-paid (exempt) staff
members in certain job families may be eligible for shift differentials. A
letter must be submitted to the Compensation Office in the Division of Human
Resources in order to establish shift differential for a specific position.