What are the requirements for shift differentials?

Shift differentials are premium wages an employer may pay an employee in order to compensate them for working an odd or inconvenient shift. In Arizona, employers must comply with the federal Fair Labor Standards Act (FLSA), which sets the minimum requirements for shift differentials. Shift differentials must be paid when an employee is regularly scheduled to work three or more hours that either begin or end outside the hours of 7:00 a.m. and 7:00 p.m. The rate must be at least 10 percent of an employee’s regular rate of pay. The employee must also receive premium pay for any hours worked on a Sunday, at a rate of at least 10 percent of their regular rate of pay. Shift differentials must also be paid for employees that work shifts that overlap two days. In this case, the employee must be paid an additional 10 percent for the first two hours their shift extends into the next day. In addition, Arizona employers are required to pay workers a minimum wage of $12.00 per hour (plus tips). This applies to all employees regardless of their job description or their shift hours or differentials. Tip credit is not allowed in Arizona. These are the general requirements for shift differentials according to the FLSA and Arizona state laws. Employers may choose to pay additional premiums if they wish, but they must always be sure to comply with these minimum wage and shift differential requirements.

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What are the requirements for shift differentials?

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