Daylight saving time: a payroll headache

Mar 13, 2011

There are fans and foes of daylight saving time, which began at 2 a.m. Sunday.

It means setting our clocks forward an hour, and for many, that means losing an hour of sleep every spring.

But for shift workers, it means working one  hour less.

Beth Skaggs is an attorney with Varnum Law in Grand Rapids.

She says daylight saving time can get a bit confusing when it comes to payroll

“For employers, it can create some headaches when they have third-shift workers who are actually working at the time when daylight saving time change occurs,” Skaggs  says.

Varnum says in the spring,  employers are not required to pay workers for the phantom hour when daylight saving time takes effect.

However, she says employers are required to pay for the extra hour worked when daylight saving time ends in the fall.