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Broken Shift Allowance Under the SCHADS Award: What Providers Often Miss

For many NDIS and aged care providers, the broken shift allowance is one of the most misunderstood, and most frequently underpaid, entitlements under the SCHADS Award.

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The short answer

Broken shifts are regulated by clause 25.6 of the SCHADS Award (MA000100), and the allowance is in clause 20.12. The rules are more specific than "two work periods with a gap": the number of periods, who is covered, the span, the minimum break between shifts and how loadings apply are all set by the clause.

QuestionWhat the Award saysClause
Who is covered?Social and community services employees undertaking disability services work, and home care employees25.6 (opening)
How many periods can be rostered?2 periods of work with 1 unpaid break. A third period (2 unpaid breaks) only by agreement25.6(a), (b)
What is the allowance for 1 unpaid break?1.7% of the standard rate, per broken shift20.12(a)
What is the allowance for 2 unpaid breaks?2.25% of the standard rate, per broken shift20.12(b)
What is the span of a broken shift?Up to 12 hours; work beyond 12 hours is paid at double time25.6(f)
What rest is required between broken shifts?A minimum break of 10 hours between broken shifts on successive days25.6(g)
Is there a minimum payment per period of work?Yes, a minimum number of paid hours for each shift or period of work in a broken shift10.5
Source and who this covers. Quotations are from the Fair Work Commission's consolidated Award MA000100. The Award defines the standard rate as "the minimum wage for a Social and community services employee level 3 at pay point 3 in clause 15.3", so the dollar value of the allowance changes when the Award's rates change; this guide gives the percentages and you take the current dollar figure from the Award. Award rates are minimums, and an enterprise agreement or contract can provide more. Your organisation is responsible for applying the Award to its own staff, so check the current text on the Fair Work Commission's Award page before you pay.

Clause 25.6 in full

"This clause only applies to social and community services employees when undertaking disability services work and home care employees.

(a) Broken shift with 1 unpaid break

(i) An employer may only roster an employee to work a broken shift of 2 periods of work with 1 unpaid break (other than a meal break).

(ii) An employee rostered to work a broken shift with 1 unpaid break must be paid the allowance in clause 20.12(a).

(b) Agreement to work a broken shift with 2 unpaid breaks

(i) Despite clause 25.6(a), an employer and an employee may agree that the employee will work a broken shift of 3 periods of work with 2 unpaid breaks (other than meal breaks).

(ii) An agreement under clause 25.6(b)(i) must be made before each occasion that the employee is to work a broken shift with 2 unpaid breaks unless the working of the 2 break broken shift is part of the agreed regular pattern of work in an agreement made under clause 10.3 or subsequently varied.

(iii) An employee who works a broken shift with 2 unpaid breaks must be paid the allowance in clause 20.12(b)."

Two things follow. A broken shift is two periods with one break unless the employee has agreed to three periods, so a roster that regularly splits a day into three bookings needs that agreement in place before each occasion (or as part of the agreed regular pattern). And a break does not count as a break in the shift if it falls inside a minimum payment period:

"(c) Where a break in work falls within a minimum payment period in accordance with clause 10.5 then it is to be counted as time worked and does not constitute a break in a shift for the purposes of clause 25.6(a)(i) or clause 25.6(b)(i)."

The allowance (clause 20.12)

"(a) An employee required to work a broken shift with 1 unpaid break in accordance with clause 25.6(a) will be paid an allowance of 1.7%"

"(b) An employee who agrees to work a broken shift with 2 unpaid breaks in accordance with clause 25.6(b) will be paid an allowance of 2.25%"

In each case the Award states the amount as a percentage of the standard rate, per broken shift. It is paid in addition to the pay for the hours worked.

How the hours are paid (clause 25.6(d) to (g))

"(d) Payment for a broken shift will be at ordinary pay with weekend, overtime and public holiday penalty rates to be paid in accordance with clauses 26—Saturday and Sunday work, 28—Overtime and penalty rates and 34—Public holidays.

(f) The span of hours for a broken shift is up to 12 hours. All work performed beyond a span of 12 hours will be paid at double time.

(g) An employee must receive a minimum break of 10 hours between broken shifts rostered on successive days."

Shift loadings. Clause 25.6(e) says the afternoon, night and public holiday shift allowances in clause 29 are payable only for the periods of work in a broken shift that meet the definitions, and gives an example:

"Example: If an employee performs work on a broken shift from 9.00 am to 11.00am (first period of work) and then from 5.30 pm to 8.30 pm (second period of work), the afternoon shift allowance will be payable on the second period of work only."

The second period finishes after 8.00 pm, so it is an afternoon shift under clause 29.2(a); the morning period is not. See SCHADS penalty rates explained.

Worked example of the span (illustrative): a home care worker is rostered 6.30 am to 9.00 am, then 4.00 pm to 8.30 pm on a weekday. The span from 6.30 am to 8.30 pm is 14 hours, so the 2 hours beyond the 12-hour span are paid at double time (clause 25.6(f)), and the broken shift allowance of 1.7% of the standard rate is payable once for the shift (clause 20.12(a)).

Minimum payment for each period (clause 10.5)

"Part-time and casual employees will be paid for the following minimum number of hours, at the appropriate rate, for each shift or period of work in a broken shift: (a) social and community services employees (except when undertaking disability services work)—3 hours; (b) all other employees—2 hours."

Clause 10.5 sets the minimum number of paid hours by employee group, and clause 25.6 covers only some employees. How the minimum applies to a period of work in a broken shift, for your stream and your roster, is a payroll interpretation: confirm it with your payroll adviser before you rely on any minimum figure. See also the minimum engagement period.

Where providers go wrong

Whether superannuation is payable on the allowance is a question for your payroll adviser and the ATO's guidance, not the Award, so this guide does not give a rule for it.

Check broken shifts yourself. This guide describes what the Award requires, not what any payroll system calculates. Broken shifts have several rules at once (the allowance, the 12-hour span, the 10-hour break and the loadings for each period), so check broken-shift pay against clause 25.6 and clause 20.12 for every pay run, in any payroll system including CareIQ. Your organisation remains responsible for pay accuracy. The free SCHADS pay calculator covers a single shift (indicative only).

Related: SCHADS allowances, sleepover allowance, overtime rules.

Frequently asked questions

Who gets the SCHADS broken shift allowance?

Clause 25.6 applies only to social and community services employees when undertaking disability services work and to home care employees. They are paid the allowance in clause 20.12 for each broken shift.

How much is the broken shift allowance?

1.7% of the standard rate per broken shift for a shift with 1 unpaid break, and 2.25% for a shift with 2 unpaid breaks that the employee has agreed to (clause 20.12). The standard rate is set out in the Award, so the dollar amount changes when the Award rates change.

Can an employer roster three work periods in a day?

Only by agreement. An employer may roster 2 periods with 1 unpaid break; 3 periods with 2 unpaid breaks need an agreement made before each occasion, unless the 2-break shift is part of the agreed regular pattern of work (clause 25.6(b)).

What is the maximum span of a broken shift?

Up to 12 hours. All work beyond a span of 12 hours is paid at double time (clause 25.6(f)).

How much rest must a worker have between broken shifts?

A minimum break of 10 hours between broken shifts rostered on successive days (clause 25.6(g)).

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