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Labour Standards Division 4th Floor, 1870 Albert Street Regina, Saskatchewan S4P 4W1

Averaging of Hours Permit


(Instructions and Application)

1. Introduction: a) Description: The Averaging of Hours Permit allows employees who want to work longer shifts, but over fewer days or weeks, to average their hours. Sections 7 through 12 of The Labour Standards Act outline the regulations that allow these arrangements. b) Example: An employer would need to apply for an Averaging of Hours Permit if the business preferred or needed employees to work ten-hour days instead of eight. In this case, the workweek would be condensed as the employees are working longer hours in the day. The employees work ten-hour days for four days for a total of forty hours in the week. They would then get three days off. c) Special Conditions: There are several factors the Director of Labour Standards considers when approving an Averaging of Hours Permit. Employers who request an Averaging of Hours Permit must provide the Director with an accurate work schedule of a typical workweek. Employers cannot use the Averaging of Hours Permit as a way to withhold or cushion against overtime pay. Overtime is still payable if the employee works more than the maximum daily hours stated on the permit. The effects of longer hours of work on employee safety.

2. Applying for a Permit Non-unionized employers must obtain a permit from the Director of Labour Standards. Unionized workplaces must obtain the written agreement of the trade union representing the employees affected by the permit. 3. Employee Consent All of the employees whose work schedules will be affected by the permit should sign the Employee Declaration (found at the end of the application form) to show their support for the permit application. The Director of Labour Standards may change the requirements for the percentage of affected employees to sign the declaration if the applicant can show that it would be impracticable to obtain the signatures of all of the employees.

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Generally, the written consent of two-thirds of the affected employees will be necessary for approval. Where 20 or more employees are affected, the Director of Labour Standards may specify what percentage of employee signatures would demonstrate majority support for the application. 4. Separate Permits To ensure fairness, the Director may require separate permit applications for each:

job site or business location; and/or category of employee, within the same organization where the jobs performed by each category of employee is different.

5. Permits are Based on the Workplaces Work Schedule A typical work schedule of the affected employees for one averaging period is to be attached to the permit application. The schedule must include days of work and hours of work per day. Unless the work schedule is unpredictable, the permit will be based on this work schedule. Note: a permit application will not be processed unless a schedule is attached. Permits for employees who are scheduled to work less than 30 hours per week on average are considered on a case-by-case basis where there are good and sufficient reasons. 6. Unpredictable Work Schedules The Director will consider one or two-week permit options on a case-by-case basis where a work schedule: fluctuates; is unpredictable; or circumstances dictate that another arrangement should be contemplated.

The employer must continue to provide employees with work schedules that are at least one week long. 7. Hours of Work Limits All hours of work limits must be honoured. Even with an Averaging of Hours Permit, a worker can refuse to work more than 44 hours in any week (a week runs from Saturday midnight to the following Saturday midnight). a) In the construction industry, two permit options are available: four 10-hour days per week; or 40-hour/1-week/10-hour day permit.

b) Monthly Permits Monthly permits should be requested where employees are paid monthly or bi-monthly, unless the employer has a method to track hours worked.

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In these cases, state on the permit application which type of shift rotation basis will be used (that is to say: Monday-Friday; Sunday-Thursday; or Tuesday thru Saturday). Monthly permits will start on the first and will end on the last day of the month. The permit will specify the daily and total number of hours that an employee may work during the month before being paid overtime. c) Weekly Permits Weekly permits are based on a 40-hour week, times the number of weeks in a rotation. Weekly permits should be requested where employees are paid weekly or bi-weekly. Typical examples include: four 10-hour days/week permit; 40-hour/1-week permit; 80hour/2-week permit; 120-hour/3-week permit; and a 160-hour/4-week permit. d) Daily Limits and Scheduled Shifts Daily work limits should be the same as the scheduled shifts, as demonstrated by the typical work schedule. Shifts longer than 10 hours will be subject to safety considerations. e) Weather Considerations For outside workers, the permit can arrange for catch-up days due to the weather stoppages. g) Weeks with Public Holidays When a public holiday occurs in a permit period, the maximum amount of hours stated on the permit is reduced by 8 hours for each public holiday that occurs in the permit period. 8. Rest Periods In addition to the weekly day(s) off requirement, except in an emergency as defined in section 12(4) of The Labour Standards Act, all employees must have at least an 8-hour rest break in any period of 24 hours (section 13.2). 9. Retroactivity The permit is generally not issued retroactively except where it is necessary to match pay periods to the start of the averaging period. 10. Permit and Payroll Periods to Coincide The permit period and the payroll period should coincide to allow the employer and the affected employees to easily identify when the overtime thresholds are exceeded. Alternatively, the employer will need to demonstrate that there is a system in place to track hours covered by the permit. 11. Work Safe Considerations Where a job requires heavy physical or a higher than normal mental effort and due care, nonstandard and extended work shifts can affect workers levels of alertness and their performance towards the end of an extended shift. This can result in a greater chance of an accident during the extended portion of the shift.

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Therefore, a higher than average lost time work injury rate may be a consideration when determining if an application is to be approved for shift arrangements longer than 10 hours. In 2009, according to WCB statistics, the lost time claim rate (per 100 workers) in Saskatchewan was 3.44. Read page 4 of the WCB Report to Stakeholders for more information. 12. Maximum Number of Employees Covered Permits will be issued for a maximum number of employees. If this maximum number is exceeded, the permit does not apply to the excess. In this case, a new permit is required for the additional employees, as the original permit does not cover the last employees hired outside of the maximum. New employees must be informed of the permit if they are affected. 13. Discretion of the Director to Issue a Permit The Director retains the discretion to amend the permit request or refuse to grant such a permit request. 14. Posting a Permit If the authorization is granted, the permit will be issued to the business. The Permit must be posted in a place accessible to all employees. 15. Revoking a Permit The Director may revoke a permit at any time upon being satisfied that a condition has been breached or that the authorization is no longer necessary or advisable. If a permit is to be revoked, the employer and the employees will be informed in advance of the Directors intentions and given the opportunity to make representation. 16. Employee Concerns with a Permit Employees may file a written complaint with the Director of Labour Standards should they believe that support for the permit was coerced or that it is not being properly applied. Alternatively, should they wish to file an anonymous complaint, they may contact the Compliance Review Unit. In this latter case, they will be asked for evidence of wrongdoing. 17. Dependent Care Issues If it is brought to the Labour Standards Divisions attention that the proposed averaging permit will have a negative impact on an employees dependent care arrangements, an accommodation may be required as a condition of receiving the permit. 18. Expiration of Permit As a rule, first time permits will be granted for one year and renewals of existing permits will be granted for up to two years. Once a permit expires, the regular overtime rules apply unless a new permit is acquired. Note: Labour Standards does not notify employers that their permit has expired.

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Tips for Completing the Averaging of Hours Permit Application Form

The application must be properly completed before returning it to the Labour Standards Division. The numbers of the points below refer to the question numbers on the permit application. 1 - 2. Both the LEGAL and OPERATING name(s) of the business (e.g. ABC Enterprises Ltd. operating as Joe's Plumbing, etc.) must be included. 5. The TYPE OF BUSINESS means the primary industry group of the operation (e.g. restaurant, light manufacturing, retail, service, etc.). 8. A. JOB CLASSIFICATION refers to job groupings (cooks, clerks, cashiers, etc.). 9. Insert a check mark in the appropriate PAY PERIOD box. The averaging period should correspond to the payroll period. If this presents a hardship, the employer must provide written reasons why an alternative is required. The permit will always start on a Sunday (or the first of the month for monthly permits). 10. Select only one of the PERMIT OPTIONS or submit a written explanation. List reasons for requesting the permit. Note: the permit does not eliminate overtime but allows employers and employees to arrange work schedules that best fits that workplace. If you need help, please call 787-2438 (Regina) or toll free 1-800 667-1783. A typical work schedule of the affected employees for one averaging period is to be attached to the permit application and must show the schedule for the affected employees including days of work and hours of work per day. The permit will be based on the work schedule. Example of a two-week schedule of hours for a group of employees.
Week 1 2 Sun Mon 8 -12: 1-6 Tue 8 -12: 1-6 8 -12: 1-6 Wed 8 -12: 1-6 8 -12: 1-6 Thurs 8 -12: 1-6 8 -12: 1-6 Fri 8 -12: 8 -12: 1-6 8 -12: Sat Total 40 hrs 40 hrs

11. THE MAXIMUM DAILY HOURLY LIMIT the employee will work should be the same as a regularly scheduled shift, as demonstrated by the typical work schedule that is attached to the application. 15. LIST OF EMPLOYEES AND SIGNATURES OF CONSENT requires a listing of a majority of the employees to be covered by the permit along with their signatures (e.g. JOHN DOE).

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Mail the application to: Director of Labour Standards Ministry of Labour Relations and Workplace Safety 400-1870 Albert Street Regina, Saskatchewan S4P 4W1 For more information on the process of applying for and the regulations that affect the Averaging of Hours Permit: Visit our website at: www.aeel.gov.sk.ca/labour-standards, Call 1- 800 667-1783 toll free; 787-2438 (Regina), or Visit your nearest Labour Standards Division Office

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Labour Standards Division 4th Floor, 1870 Albert Street Regina, Saskatchewan S4P 4W1

Application for Permit under The Labour Standards Act, sections 7 or 9

Averaging of Hours Permit Application Form


Please print clearly and complete all sections fully. 1. Legal Business Name: 2. Operating Name:
(if different than above)

3. Address:
Street Number and Name Box/Suite #

City

Province

Postal Code

Phone

Fax

E-mail address (optional)

4. Work/Site Location (if different than above): 5. Type of Business: 6. This is a ():

new application renewal of a permit ___________ (insert


permit number) (insert permit number)

amendment to an existing permit __________


7. Total Number of Employees Who Will Be Affected by the Permit: 8. Information about Employees: A.

Job classification of the employees who will be affected by the permit:

B. 9.

The employees are represented by a union? (): Employees Are Paid (): monthly / / / to

Yes

No every two weeks weekly

twice per month


/ / /

The next pay period covers the dates from:


(day/month/year)

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10. Permit Option Requested: Please select () the permit option below and attach a work schedule for the period selected. The hours employees work should match the option selected.

40-hours over 1 week 120-hours over 3 weeks

4-10 hour days/week 160 hours over 4 weeks

80-hours over 2 weeks Monthly permit

11. Reason for Wanting This Type of Permit:

12. Under This Permit, the Maximum Number of Hours Per Day the Employee Will Work: __________ (insert number). This number should correspond to the work schedule. 13. The Time Period for Which the Permit Is Requested: Start date: End date:
(day/month/year)

14. EMPLOYER SIGNATURE: I, ______________________________________________________________________________


(Print name and title of employer or authorized officer)

hereby certify that the information contained in this application is true and correct to the best of my knowledge.
__________________________________________________________________________________________________ (Signature) Date:

15. Contact Person (in case of questions):


__________________________________________________________________________________________________ (Please print) Phone:

Any person who makes a false or misleading statement in this application, with the intent to deceive, is guilty of an offence under Section 85(1)(b) of The Labour Standards Act.

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16. Employee Declaration of Support and Signatures: We, the employees whose hours may be affected: Hereby consent to our employer requesting a permit under The Labour Standards Act, subject to the conditions stated on the application; Acknowledge that these conditions have been explained to us; Understand that our employer must not pressure us to give our consent; and Understand that if any pressure has been put on us to give our consent, we may register a formal or anonymous complaint with the Labour Standards Division.

17. List of Employees and Signatures of Consent: Only those employees whose schedules may change should sign. Managers and professionals should not sign this application form. Name
(please print)

Title
(please print)

Signature

1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17.

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17. List of Employees and Signatures of Consent (continued): Before being requested to sign the attached, the affected employees must be provided with pages 1 - 3 of this application form. Name
(please print)

Title
(please print)

Signature

18 19. 20. 21. 22. 23. 24. 25. 26. 27. 28. 29. 30. 31. 32. 33. 34. 35. 36. 37. 38. 39. 40. 41. 42.

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17. List of Employees and Signatures of Consent (continued). Before being requested to sign the attached, the affected employees must be provided with pages 1- 3 of this application form. Name
(please print)

Title
(please print)

Signature

43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 58. 59. 60. If additional signature pages are attached, please indicate how many pages have been added ________.

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