Employers who have a modified work arrangement (MWA) or an averaging of hours permit must pay overtime after the daily limit or the hours in the averaging period are exceeded.
For example, if the employee is scheduled to work 12 hours in a day, the employee is entitled to overtime pay after working more than 12 hours. If the modified work arrangement or permit involves averaging 80 work hours over two weeks, employees earn overtime after working more than 80 hours in the scheduled two weeks.
If a public holiday falls within the averaging period, the overtime threshold is reduced by eight hours. For example, if a public holiday fell during an averaging period of 80 hours over two weeks, the overtime threshold would be 72 hours.