Alex is Sprintlaw’s co-founder and principal lawyer. Alex previously worked at a top-tier firm as a lawyer specialising in technology and media contracts, and founded a digital agency which he sold in 2015.
Running a small business often means juggling rosters, deadlines and the occasional last‑minute rush. When things get busy, it’s normal to ask your team to stay back or pick up extra shifts.
But how many extra hours can you ask for before it becomes unreasonable under Australian law?
In Australia, the starting point is simple: full-time employees can work up to 38 hours per week, plus “reasonable additional hours”. The tricky part is deciding what’s reasonable in your circumstances. Get it wrong, and you risk disputes, underpayment claims or penalties. Get it right, and you’ll keep operations smooth while staying compliant.
In this guide, we’ll break down what “reasonable additional hours” means for employers, how to assess reasonableness in practice, and the policies, contracts and processes that help you manage extra hours lawfully and fairly.
What Are “Reasonable Additional Hours” Under Australian Law?
Under the National Employment Standards (NES), the maximum weekly hours of work for a full-time employee is 38 hours, plus reasonable additional hours. Part-time employees have an agreed ordinary hours pattern, and may also be asked to work reasonable additional hours on top of those agreed hours. The NES sits in the Fair Work Act and applies to most Australian employees.
There isn’t a fixed number that defines “reasonable”. Instead, the law sets out factors you must consider to decide if the extra hours you’re asking for are reasonable in the circumstances. This is a case-by-case assessment, and you should be ready to explain how you weighed those factors if a question arises.
It’s also important to remember that other instruments like a modern award or enterprise agreement may set tighter rules about overtime, penalties, minimum breaks and rostering-these take priority where they’re more beneficial to the employee. You should always check both the NES and any applicable award or agreement before finalising your approach to additional hours.
If you need a refresher on the baseline limits, it’s worth reviewing the general position on maximum weekly hours and the practical guidance around the legal maximum working hours per day in Australia.
How Do You Decide If Extra Hours Are Reasonable?
“Reasonable” is all about context. Below are the main factors the law expects you to weigh up when deciding whether additional hours are reasonable for a particular employee.
Health, Safety And Fatigue Risk
Safety comes first. Consider whether the extra hours could create fatigue risks-for example, long stretches in physically demanding roles, safety-critical roles (like driving), or late-night work followed by early starts.
You should allow appropriate breaks and recovery time, and comply with any industry-specific fatigue management rules. As part of your assessment, check your break entitlements and ensure you’re respecting workplace break laws and minimum rest between shifts where relevant.
Employee’s Personal Circumstances
Take into account known personal circumstances, such as carer responsibilities, health needs, study commitments or transport constraints. You’re not expected to know everything about an employee’s private life-but if they raise a legitimate reason why extra hours would cause hardship, you should consider alternatives (e.g. different shift, splitting hours across days, or another team member).
Needs Of The Business And The Role
Is there a genuine operational need for the extra hours? Seasonal peaks, urgent client deadlines, inventory deliveries and unexpected staff absences are common scenarios where additional hours are reasonable for a short period.
Also consider the employee’s role and level of responsibility. Senior or managerial staff may be more likely to work additional hours as part of their duties, but that doesn’t mean there’s a blank cheque-reasonableness and any award or agreement still apply.
Notice And Compensation
Why now, and how much notice are you giving? Reasonable notice supports reasonableness of the request. Where extra hours attract overtime or penalty rates under an award or agreement, you must pay them. If your arrangements include time off in lieu (TOIL), ensure a valid agreement is in place and the timing of TOIL is fair.
Industry Practices And Patterns Of Work
What’s normal in your industry, and what’s the employee’s usual pattern of work? If occasional extended hours are typical during EOFY or a holiday rush, that context helps. If you’re regularly relying on overtime to plug understaffing, you may need to revisit resourcing rather than lean on additional hours indefinitely.
Part-Time And Casual Employees
Part-time employees can work additional hours above their agreed ordinary hours. Whether those hours are overtime (and attract higher rates) depends on the relevant award or agreement. Casuals don’t have guaranteed hours, but you should still consider reasonableness, fatigue, late-night finishes, and minimum engagement periods under any applicable award.
The Right To Say “No” To Unreasonable Hours
Employees have the right to refuse unreasonable additional hours. A refusal doesn’t automatically make the relationship “difficult”-it may simply indicate that the request isn’t reasonable for that person in those circumstances. Handling these conversations constructively can preserve trust and reduce legal risk.
Awards, Enterprise Agreements And Overtime: What You Must Check
On top of the NES, most employees are covered by a modern award or enterprise agreement that will define ordinary hours, span of hours, overtime triggers, penalty rates, minimum breaks and rostering rules. This is where many compliance issues arise when extra hours are in play.
- Overtime Triggers: Many awards trigger overtime once an employee exceeds their ordinary hours, works outside a defined span (e.g. before 7am or after 7pm), or exceeds a daily limit. Make sure you understand how overtime under Australian law applies to your team.
- Penalty Rates: Nights, weekends and public holidays can attract penalty rates. If the busy period falls on a Saturday or Sunday, check your award’s weekend pay rates.
- Night And Shift Work Rules: Many awards include rules and higher rates for late finishes, early starts, and shift work. If your peak demand is overnight or early morning, review obligations tied to night shift laws.
- Rest Breaks And Minimum Time Between Shifts: Some awards specify minimum time between finishing one shift and starting the next. If you’re rostering extra hours, ensure you’re meeting any minimum break between shifts.
- Public Holidays And Substitute Days: Extra hours on a public holiday often involve different rates or substitution rules. These need to be built into your rostering and payroll practices.
If you manage rosters across multiple roles or locations, map the relevant instruments (awards or agreements) to each position so your managers know exactly which rules apply when approving additional hours.
Managing Additional Hours In Practice: Rostering, TOIL And Records
With the legal framework in mind, here’s how to manage extra hours in a way that protects your business and supports your team.
Plan Rosters With Compliance In Mind
Build rosters that respect ordinary hours, span of hours and break rules before you even consider overtime. Clear rostering processes reduce disputes and payroll errors, and help you demonstrate compliance if you’re audited.
If you’re formalising your scheduling processes, make sure you understand the legal requirements for employee rostering under awards and the Fair Work Act.
Use TOIL Properly
Time off in lieu (TOIL) can be a useful tool where permitted by an award or agreement. TOIL usually requires a written agreement with the employee, accrued at the overtime rate (unless the instrument allows otherwise), and taken within a set period.
Ensure your payroll system can track TOIL balances accurately and that managers know when TOIL must be paid out as overtime if not taken in time. If you’re introducing TOIL to your workplace, review how time in lieu should be implemented lawfully.
Communicate Early And Give Notice
Where possible, give employees reasonable notice of extra hours and explain the operational need. Early communication improves uptake and reduces the risk of refusals or grievances. If your needs change, communicate roster amendments quickly and document any mutual variations to shifts.
For changes to regular patterns of work (especially for part-time employees), understand your obligations around consultation and reasonable notice. Practical guidance on changing employee rosters can help you avoid misunderstandings.
Keep Accurate Records
Record the hours worked, including overtime and breaks taken. Accurate time and wages records are a legal requirement and are your best defence if a dispute arises later about underpayments or unpaid overtime. If employees work remotely, agree on a consistent, auditable method for recording extra hours.
Coach Your Managers
Front-line managers often approve extra hours. Give them clear guidance on your overtime rules, how to handle refusals, and when to escalate. Consistent practices across teams reduce legal risk and help maintain morale.
Avoiding Legal Risks: Refusals, Adverse Action And WHS
Most issues around additional hours can be avoided with good planning and communication. Still, it’s important to know where legal risk can arise-and how to manage it.
- Right To Refuse Unreasonable Hours: Employees can refuse unreasonable additional hours. If an employee declines, consider alternatives and document your reasoning. Avoid knee-jerk reactions like removing shifts in retaliation, as this can expose you to claims.
- Adverse Action: Taking negative steps (e.g. demotion or dismissal) because someone exercised a workplace right-like refusing unreasonable hours-can lead to a general protections (adverse action) claim. Always separate performance management from hours disputes and keep evidence of your decision-making.
- Discrimination And Carer Responsibilities: Be cautious where extra hours disproportionately affect employees with protected attributes or carer responsibilities. Flexibility and genuine consultation go a long way.
- Work Health And Safety (WHS): Overwork and fatigue are WHS issues. Assess and control risks associated with extended hours and late finishes, and make sure your team knows how to report fatigue concerns.
- Underpayment Risk: If extra hours should have been paid at overtime or penalty rates and weren’t, underpayment liabilities can mount quickly. Regular audits and clear payroll rules help catch issues early.
What To Include In Contracts And Policies
Strong, clear documents make managing additional hours far easier. Tailor your contracts and policies to reflect the awards or agreements that apply to your business and the practical realities of your operations.
- Employment Contract (Full-Time/Part-Time): Set out ordinary hours, how additional hours are managed, overtime eligibility, TOIL arrangements, and any requirement to work reasonable additional hours. If you’re updating templates, consider a current Employment Contract aligned to your award settings.
- Employment Contract (Casual): Clarify minimum engagements, rostering, availability, and how additional hours are offered and accepted. A well-drafted Casual Employment Contract will reduce disputes over extra shifts.
- Workplace Policies: An hours of work and overtime policy should explain approval processes, when overtime rates apply, TOIL rules, breaks and fatigue management. A comprehensive Workplace Policy suite also helps managers apply rules consistently.
- Set-Off Arrangements (If Applicable): If your remuneration model uses “set-off” against award entitlements (e.g. paying a higher flat rate to absorb overtime/penalties), ensure the contract is carefully drafted and the arrangement is genuinely sufficient. Review how set-off clauses in employment contracts operate before relying on them.
- Consultation & Rostering Procedure: Document how roster changes are proposed, the consultation steps required under the award, and how employees can raise concerns.
- Record-Keeping & Approval Workflow: Specify how extra hours must be approved and recorded (e.g. manager sign-off, timesheet method, deadlines).
These documents won’t replace thoughtful, case-by-case assessments, but they provide the framework that keeps everyone on the same page.
Practical Examples: Applying The “Reasonableness” Test
Sometimes, the best way to make a decision is to apply the factors to a concrete scenario. Here are a few typical situations and how an employer might analyse them.
Retail Peak Season
You run a small retail store, and holiday trading is exceptionally busy. You ask full-time staff to work one additional two-hour shift on two weeknights for three weeks, with two weeks’ notice. The extra hours attract penalty rates under the award, which you’ll pay. Staff will still have adequate rest between shifts.
In this scenario, there’s a genuine operational need, reasonable notice, compliance with penalties and breaks, and the period is short. This is likely reasonable additional hours for most staff, noting individual circumstances if raised.
Urgent Client Deadline In A Professional Services Firm
A project requires completion by Friday. You ask a full-time team member to stay back three evenings that week for 1-2 hours, with two days’ notice. Their role is senior; however, they have disclosed carer obligations on two of those nights. You adjust the request-one evening in the office and two early starts with flexibility to finish early the following week-and confirm overtime/TOIL in line with their agreement.
By considering personal circumstances and compensating correctly, you’ve improved reasonableness and reduced risk.
Late Finish Followed By Early Start In Hospitality
A bartender finishes at midnight and you plan to roster them from 6am the next day to cover a breakfast function. The relevant award requires a minimum gap between shifts, and the employee raises fatigue concerns.
You must comply with the minimum break. Even if breaks weren’t specified, such a short turnaround would likely be unreasonable due to fatigue risk. Consider another staff member or adjusting the start time.
How To Embed “Reasonableness” In Your Operations
Reasonableness isn’t just a legal test-it’s a management practice. Embedding it into your day-to-day processes reduces disputes and helps retention.
- Forecast busy periods and hire or cross-train early to minimise last-minute overtime.
- Use a transparent rostering process that avoids unfair distribution of unpopular hours.
- Give as much notice as you can for additional hours and document approvals.
- Monitor fatigue indicators-late finishes, multiple long days-and rotate duties where possible.
- Review payroll reports for frequent overtime and check if it signals a structural resourcing issue.
- Encourage employees to raise concerns early, and train managers to respond constructively.
Key Takeaways
- Under the NES, full-time employees can work 38 hours per week plus reasonable additional hours; part-time and casual arrangements still require a reasonableness assessment.
- Reasonableness depends on factors like health and safety, personal circumstances, business needs, notice, compensation and industry practices.
- Modern awards and enterprise agreements often set stricter rules on overtime, penalties, breaks and rostering-always check the instrument that applies.
- Plan rosters, use TOIL correctly, keep accurate records and give reasonable notice to reduce disputes and underpayment risk.
- Employees may refuse unreasonable additional hours; manage refusals fairly to avoid adverse action and discrimination risks.
- Clear contracts and policies-covering hours, overtime, TOIL, consultation and record-keeping-make it easier to manage additional hours lawfully.
If you’d like a consultation on managing reasonable additional hours, contracts and rostering in your business, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no‑obligations chat.








