A rostered day off (RDO) is a day in a roster period that an employee doesn't have to work. It can be paid or unpaid, depending on how RDOs are set out in an award or agreement.
When RDOs are paid, it is because an employee has worked extra hours over a set period of time.
How do RDOs work?
An example would be where an employee works 40 hours per week for three weeks, and then 32 hours in the fourth week. To avoid fluctuating weekly wages, pay is averaged over the four weeks. In other words, they receive payment for 38 hours each week whether they work 40 hours or 32.
This is achieved by the creation of a ‘credit’ of 0.4 hours (24 minutes) for every day that eight hours is worked. These ‘credits’ are accumulated over 19 days until, assuming 19 x 8-hour days have been worked, a ‘credit’ of 7.6 hours (one full working day) has been accrued. The employee then has a paid rostered day off.
Accrual of RDOs
Some awards allow for the accrual of a maximum number of RDOs during a calendar year (commonly five). However, the absence of an accrual provision, or when certain conditions are not met (notifying the relevant union in writing), renders the arrangement invalid and the payment of penalty rates would apply.
Public holidays
Generally, awards prescribe that if a public holiday falls on a rostered day off, the holiday can be deferred to another day with pay. Difficulties can arise when employees work a four-day week and a holiday occurs on the weekly RDO. Entitlement to the holiday can still occur depending on the award.
Workers compensation
Employees receiving workers compensation benefits are not entitled to an additional payment for an RDO. The employee would receive payment for the RDO for any time worked during the roster cycle on a proportionate basis. An employee on workers compensation for the whole of the roster cycle would not receive any payment for the RDO from the employer.
Shift workers
Unless otherwise prescribed by the relevant award/agreement, shift workers are entitled to be paid shift allowance for the rostered day off as the 0.4 hour credit which is carried over each day was worked on that shift and has not been paid.
Casuals
To be entitled to an RDO, a casual employee must actually accrue the entitlement, e.g. by working more than a 38-hour week.