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SCHADS guide

Sleepovers: the new rules from June 2026

The Fair Work Commission's 2026 determination changes the structure of sleepover shifts under SCHADS. This framework walks through what changes and what to do before 1 June.

Sleepover shifts under SCHADS have been the subject of significant litigation and regulatory change. The 2026 determination, taking effect 1 June, changes minimum payments, wake-up provisions, and how ordinary hours interact. This framework covers the five things every provider should check.

01

Have you mapped where sleepovers occur in your roster?

Where sleepovers occur across a roster depends on the service mix, the client contracts, and any 24-hour care arrangements. The map is rarely as simple as ‘sleepovers happen in respite’.

Where it goes wrong: mapping only the obvious sleepovers and missing others across the roster, so the transition plan is built on an incomplete picture. Mapping comprehensively upfront avoids surprise underpayments.

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02

Are you applying the correct minimum sleepover payment?

What the correct minimum sleepover payment looks like depends on the period the shift falls in (pre- or post-determination), the structure of the shift, and the employee’s classification.

Where it goes wrong: leaving the pre-1 June sleepover payment settings in payroll after the new rules take effect, so every affected shift from that date may be paid incorrectly.

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03

Are wake-up payments correctly captured?

How wake-up time should be captured and paid depends on the duration of the wake-up, the work performed, and the Award’s treatment of interrupted sleepovers.

Where it goes wrong: time recording systems that show a flat sleepover when the actual shift included multiple wake-ups paid at the applicable rate. The shift looks compliant; the pay is not.

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04

Have you reviewed contracts and rosters for compliance?

Which contracts and rosters need updating depends on how sleepover provisions were originally drafted and what the determination has changed. Older contracts can sit out of step with the current Award.

Where it goes wrong: relying on older contract clauses where the Award now provides a more favourable entitlement. The Award supersedes the contract in that direction.

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05

Are you ready to communicate the change to employees?

How and when to communicate the change to employees depends on the workforce, the channels available, and the affected roster patterns. Clear, in-advance communication reduces dispute risk.

Where it goes wrong: implementing the pay change silently, then fielding queries one-by-one as employees notice the difference. The narrative gets harder to control once that starts.

Three things to watch for

1. Mid-cycle confusion
If the determination takes effect mid-pay-cycle, payroll needs to apportion the old and new rules. Get the system change right before the cycle ends.
2. Wake-up time
Wake-ups during a sleepover are paid time. Time recording has to capture them or you risk underpayment.
3. Contracts vs Award
Where the contract specifies less favourable terms than the Award, the Award applies. Contract clauses do not override SCHADS.
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