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Night owls, early risers, weekend warriors… this one's for you! We’re talking shift differentials - something you might be familiar with if you've ever worked a late shift or picked up some extra work outside your normal hours.
But what is a shift differential to the rest of us? And how do they work? Read on to find out all about this handy little perk.
What is a shift differential?
Let’s start with the basics: a shift differential is the extra cash you can earn for working outside the typical 9 to 5 window. Whether it’s rocking the graveyard shift, working weekends, or pulling an evening shift, employers sometimes pay staff a little extra to compensate for working awkward times.
In simple terms, it’s like a bonus for being the shift superhero. While everyone else is tucked up in bed or enjoying their weekends, these heroes are hard at it. So they deserve a little something extra.
Why offer a shaft differential?
Companies offer shift differentials for a couple of reasons. First off, they want to attract people to those shift patterns that are less desirable. Not everyone wants to be awake at 3am or miss out on weekend BBQs, so offering a pay bump is a way to get people motivated to sign up for those less-than-ideal hours.
Second, it’s a bit of a reward system. Those employees are working when others aren’t, so it’s only fair they get compensated for that inconvenience. Plus, industries like healthcare, retail, or manufacturing, need to be up and running 24/7, so offering their staff a shift differential makes financial sense.
How much is a shift differential?
The amount a company offers for a shift differential can vary widely depending on several factors, including the type of job, the industry, and the company’s specific needs.
Some businesses may offer a flat amount for each hour worked during a non-standard shift, while others may offer a percentage increase to an employee’s base wage (for example, an additional 10% for working nights or weekends).
While it’s typically not a life-changing amount, over time, those extra hours can add up and make a noticeable impact on an employee’s paycheck. For businesses, it’s a cost that can be justified if it ensures they have the necessary staff to keep the operation going smoothly.
The benefits of a shift differential
Sure, shift differentials are an added expense for employers. But the benefits mean they’re generally worth the investment:
- Employee satisfaction: Offering shift differentials shows that a company values its employees and the sacrifices they make by working non-traditional hours.
- Increased productivity: Employers can make sure they have a full team during all hours, helping to maintain productivity and keep operations smooth.
- Reduced absenteeism: Being paid fairly for their time means employees are less likely to call in sick or abandon their shifts.
What’s in it for workers?
Aside from the extra cash, shift differentials offer all sorts of unseen benefits for employees:
Flexibility
For those who prefer to live on their own rota schedule, working nonstandard shifts can be a real win. You get to take care of personal errands during the day when everyone else is stuck at work.
Work/life balance
With the added flexibility, some people find that working different hours actually helps them balance their personal lives. Maybe you’ve got kids to take care of, or maybe you just like the extra time for hobbies or self-care. Shifts that aren’t 9-to-5 can open up space in your day.
Easy commute
If you’re not driving or getting the train during peak rush hour, you get the rare joy of breezing through your commute. So stick that playlist on and enjoy.
Start making a difference to your shifts
Planday takes the hassle out of shift planning, so you can focus on other more important things. Don’t believe us? Try for yourself for 30 days, completely free.
