In Australia, effectively managing time tracking and overtime policies isn’t just about good business practice—it’s a legal requirement. Recent changes initiated by the Fair Work Commission, effective as of September 16, 2023, have underscored the importance of understanding and adhering to these regulations. In this article, we’ll dive into the legal framework surrounding time tracking and overtime in Australia and explore practical implementation options.


I. Grasping Australian Labor Laws

Before we delve into the practicalities of time tracking, it’s crucial to have a solid grasp of the legal landscape. Australian labor laws, overseen by the Fair Work Commission, establish the rules for employee rights and employer responsibilities. With the recent updates, it’s imperative for employers to be well-versed.

The Fair Work Commission’s recent determination, in effect from September 16, 2023, brings significant changes:

  • Minimum Annual Salaries: These now encompass 38 ordinary hours of work per week, with additional payments required for hours worked at unconventional times or on weekends.
  • Overtime Pay: Employees are entitled to their regular hourly rate for any hours worked beyond the 38-hour week. This includes work performed remotely.
  • Penalty Rates: Penalty rates of 125% apply for early mornings or late evenings (prior to 6:00 am or after 10:00 pm) from Monday to Saturday, and 150% for Sundays and public holidays. Casual employees receive these rates in addition to their casual loading.
  • Record-Keeping: Employers must maintain records of hours worked beyond 38 hours per week and for hours worked outside standard hours or on public holidays.
  • Time Off in Lieu (TOIL): A standard clause for TOIL is now integrated into the Award.
  • Exception for Contractual Entitlements: An exception exists for employees with contractual entitlements to annual salaries at least 25% above the minimum rate set by the Award.

Taken in whole, the new Australian law requires that records be kept for time spent and overtime or TOIL be compensated for time past ordinary hours. If you’re a salary based organization, or just weren’t tracking timesheets previously, this means you need to start tracking ordinary and overtime hours!


II. Options for Time Tracking

When it comes to time tracking, Australian businesses have a range of options tailored to their size and requirements:


A. Full-Blown Workforce Management Systems Like:

1. UKG by Ultimate Kronos Group (UKG): The merger of Kronos and Ultimate Software in 2020 gave rise to the Ultimate Kronos Group, or UKG. UKG offers a comprehensive suite of Human Capital Management (HCM) solutions covering payroll, HR, talent management, benefits administration, and HRIS reporting. Key solutions include

  • UKG Pro: An enterprise HCM suite with extensive features for large organizations
  • UKG Dimensions: Designed for workforce management in large enterprises
  • UKG Ready: Tailored for small to medium-sized businesses, offering payroll and HR functionalities.

2. Crafted for shift workers, is a cloud-based HCM system excelling in onboarding, scheduling, time tracking, engagement, and payroll. It’s particularly suited for hourly employees in sectors like hospitality, retail, and healthcare. Key features include:

  • Streamlined onboarding and scheduling
  • Advanced AI forecasting for optimized staff scheduling
  • Geo-located clock-ins
  • Robust HRIS and full-service payroll

3. ADP: As a leading cloud-based HR and payroll provider, ADP offers tailored solutions for different business sizes, though they’re best known for their enterprise implementations. Key features encompass payroll, time tracking, scheduling, tax management, benefits administration, and absence management.

4. Ceridian Dayforce: Dayforce, provided by Ceridian, is a cloud-based enterprise HCM software specializing in talent acquisition and benefits, with offerings for payroll, HR, HRIS, and workforce management. Key features include:

  • Secure document management
  • Advanced HR analytics
  • Dayforce Wallet for on-demand pay
  • Employee flight risk analysis
  • Basic time tracking and scheduling
  • Extensive talent management and acquisition


B. Lightweight Overtime Tracking Options:

For businesses seeking a straightforward yet effective time tracking solution, consider AttendanceBot. This user-friendly software offers several advantages, making it an appealing option for those just looking to stay compliance with new regulation.

1. AttendanceBot: User-focused time tracking software targeted to businesses looking for simple onboarding. Typically stands out for:

  • Native workflow in Slack or Microsoft Teams
  • Instant clock-in / clock-out
  • Automatic reminders to build habit
  • Highly configurable overtime policy that supports regulatory frameworks from Australia to Ecuador
  • Automatic TOIL (time-off-in-lieu) generation based on hours works
  • On demand data accessibility
  • Ability to record time to projects, tasks, and Jira items

2. Hubstaff: Hubstaff caters to shift-based schedules. Key functionalities include:

  • Basic time tracking
  • Limited overtime configurability
  • Productivity measurement through periodic screenshots
  • Keystroke tracking to evaluate productivity
  • Generation of online timesheets and team reports

3. Timely: Timely is an AI-powered time tracker that automatically records time spent on tasks, making it an ideal choice for freelancers and small to medium-sized enterprises. Top features include a memory tracker and timeline view, though timely is more limited for configuration of rules and policies.

4. TimeCamp: TimeCamp offers comprehensive time tracking , enabling users to monitor billable work hours and employee productivity. It offers over 50 integrations for seamless task synchronization and allows you to generate detailed time tracking reports. TimeCamp is well-suited for employers seeking productivity monitoring in combination with time tracking and payroll management. Key features include:

  • Automatic time tracking, billable and non-billable hours tracking, time tracking by project and client
  • Activity tracking, team performance monitoring, task management, project profitability
  • Hourly billing, invoicing, tax calculation, multiple billing rates, multi-currency


Effective time tracking and compliance with Australian labour laws are essential for business success. With recent changes effective from September 16, 2023, it’s crucial to make informed choices.

Whether you opt for comprehensive systems like UKG (Kronos), or prefer the simplicity of AttendanceBot, ensure alignment with your organization’s needs.

Staying informed, creating clear policies, and maintaining records are key to a compliant and productive workplace. Your choice of time tracking solution plays a pivotal role in achieving these goals.

Select wisely, stay compliant, and set your business on a path to success.