On-call time is a period during which an employee must remain available to perform work if called upon by their employer, outside of their standard working hours. It applies across industries — from IT support and healthcare to manufacturing and hospitality — and carries specific legal obligations around compensation and working time limits.
For HR teams, on-call arrangements must be carefully structured. Poorly designed on-call policies can push employees into overtime violations, breach working time regulations, and create significant legal liability.
Key Takeaways
- On-call time means the employee must remain contactable and available to work, but is not actively performing duties.
- Whether on-call time is payable depends on jurisdiction, degree of restriction, and whether the employee is actually called to work.
- The UK Working Time Regulations 1998 count on-call time as “working time” if the employee must remain at or near the workplace.
- A clear on-call policy should define the on-call rate, response expectations, minimum call-out payments, and rest period protections.
What Counts as On-Call Time?
On-call time is distinct from actual working time. During on-call periods, the employee is not actively working — they are standing by, available to respond if needed. The critical distinction is the degree of restriction:
- On-site on-call: The employee must remain at or near the workplace (e.g., in a hospital ward or IT operations centre). This is almost universally treated as working time.
- Remote on-call: The employee can be at home or elsewhere but must be reachable and able to respond within a specified timeframe (e.g., 30 minutes).
- Partial on-call: The employee is free to pursue personal activities but must remain contactable and able to resume work quickly.
The more restrictive the arrangement — the closer the employee must stay to the workplace, and the shorter the required response time — the more likely it is to be classified as compensable working time.
Is On-Call Time Paid?
The answer depends on where you operate and how the arrangement is structured:
United Kingdom
Under the Working Time Regulations 1998, time spent on-call at or near the workplace counts as working time. Time spent on-call away from the workplace is working time only if the employee is actually called to work.
Many UK employers pay an on-call allowance — a flat fee per on-call shift — regardless of whether the employee is called out. This is not a legal requirement but is standard practice in healthcare, utilities, and emergency services.
United States
Under the Fair Labor Standards Act (FLSA), on-call time is generally not compensable if the employee is:
- Free to leave the premises
- Free to engage in personal activities
- Not unduly restricted in their movements
However, if on-call restrictions are so severe that the employee cannot use the time for personal purposes, the Department of Labor considers it hours worked and requires compensation.
European Union
The EU Working Time Directive (2003/88/EC) provides a framework, but member states implement it differently. In most EU countries, on-call time at the workplace is working time, while remote on-call time is assessed on a case-by-case basis.
| Jurisdiction | On-Site On-Call | Remote On-Call | Called to Work |
|---|---|---|---|
| UK | Working time | Not working time unless called | Yes — always working time |
| US (FLSA) | Likely compensable | Generally not compensable | Yes — always compensable |
| EU (Directive) | Working time | Case-by-case | Yes — always working time |
| Australia | Working time if restrictions apply | Case-by-case | Yes — always compensable |
How to Structure an On-Call Policy
A well-designed on-call policy removes ambiguity and protects both the employer and employees:
1. Define the On-Call Rate
Compensation for on-call periods varies. Common structures include:
- Flat allowance per on-call shift (e.g., £50 per 12-hour on-call period)
- Hourly on-call rate (e.g., 20% of normal hourly rate for the duration)
- Nothing for availability, full compensation only for actual call-outs (legally permissible in some jurisdictions but damaging to morale)
2. Set Response Expectations
Specify how quickly the employee must respond to a call-out:
- Immediate (15 minutes): Requires on-site on-call
- 30 minutes: Standard for remote on-call in most industries
- 1-2 hours: Acceptable for non-urgent roles
The shorter the required response time, the more restrictive the arrangement, and the higher the compensable obligation.
3. Minimum Call-Out Payment
If an employee is called to work during an on-call period, most best practices dictate a minimum payment — even if the actual work performed is brief. This compensates the employee for the disruption to their personal time and typically corresponds to a minimum of 2-4 hours of work at the normal or enhanced rate.
4. Rest Period Protections
On-call periods should not be used to circumvent rest period requirements. If an employee finishes a shift at 6 PM and is on-call overnight, they must still receive adequate uninterrupted rest before their next shift. Repeated on-call assignments that erode rest periods may breach working time regulations.
On-Call Time and Working Time Regulations
The UK Working Time Regulations 1998 set maximum weekly working hours at 48 (unless the employee opts out) and require a minimum of 11 consecutive hours of rest per 24-hour period, plus 24 hours of uninterrupted rest per week.
On-call time counts toward these limits when it is classified as working time. HR teams must track both regular hours and on-call hours to ensure compliance. This is a common area of risk, particularly in healthcare and emergency services where frequent on-call rotations can push employees toward the 48-hour limit.
Best Practices for On-Call Management
- Use dedicated scheduling tools. Track on-call assignments, rotations, and payments in a centralised leave and scheduling system rather than spreadsheets.
- Rotate fairly. Distribute on-call duties equitably across the team to prevent burnout and resentment.
- Document everything. Log call-outs, response times, and compensation paid. This protects the employer in disputes.
- Review regularly. Assess whether the on-call arrangement is still operationally necessary, or whether alternative solutions (shift extensions, temporary staffing) would be more effective.
Frequently Asked Questions
Do I have to pay employees for being on-call?
It depends on jurisdiction and the degree of restriction. In the UK, on-call time at or near the workplace is working time and must be paid. In the US, remote on-call time is generally not compensable under the FLSA if the employee is free to use the time for personal purposes. Always check local regulations.
Can an employee refuse on-call duties?
In most jurisdictions, on-call duties are a contractual obligation. An employee can refuse, but this may constitute a breach of contract. However, if on-call arrangements consistently prevent employees from taking their statutory rest periods, the employee may have grounds to challenge the requirement.
How many hours can an employee be on-call?
There is no universal maximum, but on-call time counts toward working time limits in many jurisdictions. In the UK, it must be considered within the 48-hour weekly limit (unless opted out). Employers should ensure on-call rotations do not systematically push employees beyond legal working time thresholds.
What is a typical on-call allowance?
Rates vary by industry and role. In the UK, typical on-call allowances range from £30 to £100 per shift for remote on-call, and higher for on-site on-call. In the US, on-call pay is less standardised — some employers offer flat stipends, while others only pay for actual hours worked during call-outs.
Does on-call time count towards overtime?
If on-call hours are classified as working time and push total hours above the standard working week (typically 35-40 hours depending on contract), they may trigger overtime payments. The specific rules depend on the jurisdiction, employment contract, and any applicable collective bargaining agreements.
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