Night Differential Premium Pay (2021 Update)

I-2021-32


Effective Date: Expiration Date: Chapters:
Sept. 3, 2021 When Superseded 11  

Overview

The District government provides Career, Legal, Excepted, and Management Supervisory Services employees, and Educational Service employees with the Office of the State Superintendent of Education, with extra compensation when they are required to work at night as part of their regular tour of duty. Most employees will receive an hourly premium equal to 10% of their regular pay rate for work performed between 6:00 p.m. and 6:00 a.m. This issuance explains the night premium, eligibility, calculating total pay, and how to enter time for the premium in PeopleSoft.


Night Work Premium

Some employees must work into the evening hours. The District provides these employees a 10 percent premium for regularly scheduled, non-overtime work performed at night, including for a tour of duty to which an employee is assigned temporarily. The premium is computed as a percentage of the employee’s rate of basic pay. Eligible employees receive the night premium for each hour and fractional hour of work they perform between the hours of 6:00 p.m. and 6:00 a.m.

Night premiums are:

  • Paid only for work performed (e.g., the premium is not paid when an employee is on leave);
  • Paid in addition to any Sunday and/or holiday premiums;
  • Paid on an hour-for-hour basis in increments of one-quarter (¼) hour (15 minutes);
  • Not payable for overtime hours; and
  • Not considered basic pay for any reason other than computing overtime.

Eligibility

Night premiums are available to all employees in the Career, Legal, Excepted, and Management Supervisory Services, and Educational Service employees with the Office of the State Superintendent of Education, at grade 14 and below.


Calculating the Hourly Premium

To calculate the hourly night premium rate for a specific employee, divide the employee’s annualized full-time salary by 2,080 hours, which is equivalent to 26 biweekly pay periods of 80 hours per pay period [2,080 hours = 26 pay periods x 80 hour per pay period] and multiply the hourly rate by 10%.

For hourly employees, multiply their hourly rate by 10%.

Example 1 - Salaried Employees

James is a non-union Career Service employee with an annual salary of $57,587 and he works a regular 40-hour workweek. Every Wednesday, James works an 8-hour night shift between 7:00 p.m. and 3:30 a.m. What is James’ total compensation for a 2-week pay period?

Step Calculation
Step 1 – 
Find James’ Hourly Pay Rate
Divide James’ annual salary by 2,080 hours
$57,587/(2,080 hours)=($27.69)/hour
Step 2 –
Find James’ Basic Salary for a Pay Period
$27.69/hour  x 80 hours=$2,214.88/pay period
Step 3 –
Find James’ Hourly Night Premium Rate
Multiply James’ hourly rate (Step 1) by 10%
$27.69/hour  x 10%=$2.77/hour
Step 4 –
Calculate James’ Premium Pay
Multiply the premium rate (Step 3) by the hours worked on two Wednesdays in the pay period
$2.77/hour x 16 hours=$44.30
Step 5 – 
Calculate James’ Total Compensation 
Add the basic salary (Step 2) to the Premium Pay (Step 4)
$2,214.88+$44.30= $2,259.18 

For one pay period, during which James works two evening shifts, his total bi-weekly compensation will be $2,259.18.

Example 2 - Hourly Employees

Amber is a non-union Career Service employee with an hourly salary of $28.80 and she works a regular 40-hour workweek. Every Wednesday, Amber works a shift between 12:00 p.m. and 8:00 p.m. What is Amber’s total compensation for a 2-week pay period?

Step Calculation
Step 1 – 
Find Amber’s Basic Salary for a Pay Period
Multiply Amber’s hourly rate by 80 hours
$28.80/hour  x 80 hours=($2,304.00)/(pay period)
Step 2 – 
Find Amber’s Hourly Night Premium Rate
Multiply Amber’s hourly rate ($28.80) by 10%
$28.80/hour  x 10%=($2.88)/hour
Step 3 – 
Calculate Amber’s Premium Pay
Multiply the premium rate (Step 2) by the night hours worked on two Wednesdays in the pay period
$2.88/hour x 4 hours=$11.52
[Note: Amber receives a premium for only two hours each Wednesday because the night premium is only payable between 6:00 p.m. and 6:00 a.m.]
Step 4 – 
Calculate Amber’s Total Compensation 
Add the basic salary (Step 1) to the Premium Pay (Step 3)
$2,304.00+$11.52= $2,315.52

For one pay period, during which Amber works two shifts that are partially in the evening, her total bi-weekly compensation will be $2,315.52.


Reporting Time in PeopleSoft

Employees eligible for night differential pay should report their night differential hours in PeopleSoft using the Night Differential – NITP timecode.


Collective Bargaining Agreements

Any provisions of a collective bargaining agreement related to compensation for night hours will take precedence over the provisions in this issuance for those employees covered by the agreement, to the extent that there is a difference.


References


Issued by Director Ventris C. Gibson, D.C. Department of Human Resources on Sept. 3, 2021, 4:05 p.m.