Shift premium

A shift premium is a supplement on top of your hourly wage for working in shifts. How much it is, a percentage or a fixed amount per hour, is set per shift system by the collective agreement of your joint committee. It is ordinary gross pay on which you pay social security and tax.

The sector minimum of your joint committee, per shift system and taken from the agreement, is in our overview shift premium per joint committee.

How much is a shift premium?

The amount depends on the system and your joint committee. The sector minimums are listed per committee and per system, with the agreement as source, in our overview shift premium per joint committee: fixed nights and full-continuous systems sit higher there than early and late shifts, and company agreements often go above the sector minimum. Your exact percentage is in your sector's collective agreement or your work regulations.

How is it calculated and taxed?

The premium is usually calculated as a percentage of your gross hourly wage for every hour actually worked in shifts. It is taxed as ordinary pay: the partial withholding tax exemption for shift and night work benefits the employer and does not change your net. Count on roughly a third to 40 percent of the gross amount; the worked example is in shift premium gross or net.

Does it count towards holiday pay and pension?

Yes: the shift premium is wages. It counts towards your holiday pay, your end-of-year premium (following your PC's rules) and your pension build-up. During guaranteed sick pay your employer generally pays your normal wage including the premium you would have earned according to your roster.

Browse our shift vacancies with transparent salary ranges, or read what working in shifts means for your rhythm and pay.