RDO (Rostered Day Off): What It Is, How It Works, and Common FAQs
Note: This page covers the Australian workplace definition of RDO — Rostered Day Off. In other countries, "RDO" may refer to entirely different things (for example, in the Philippines, RDO refers to a Revenue District Office). If you are looking for information about the Australian employment concept, read on.
An RDO (Rostered Day Off) is a paid day of leave that employees accrue by working a small amount of additional time each day. Rather than receiving overtime pay for those extra minutes, the time accumulates until the employee has earned a full shift — which they then take as a paid day off.
RDOs are still common in many Australian workplaces, particularly in unionised industries, the public sector, and the construction industry. They also appear in some contact centre awards and enterprise agreements. This guide explains how RDOs work, who is entitled to them, and answers the questions we hear most often.
What an RDO is
A paid day off earned by working extra minutes each working day — accrued over a fortnight or month until a full shift is banked.
Why they exist
RDOs give employees regular time off beyond standard leave entitlements, supporting work-life balance and reducing the need for unscheduled sick leave.
What this guide covers
How RDOs work, how they're calculated, who gets them, how they interact with public holidays, and answers to the most common questions.
What is an RDO (Rostered Day Off)?
An RDO, or Rostered Day Off, is a paid day of leave built into a roster period that an employee earns by working additional time — typically a small number of extra minutes per day — across their standard working days. The accumulated time is eventually equivalent to a full working day, which the employee then takes off as a rostered, paid absence.
Despite appearing to be a "free" day off, an RDO is time the employee has already earned. They have worked the hours; the RDO simply packages that accumulated time into a full paid day away from work.
RDOs are still common in many Australian workplaces and industries. They typically form part of a Modern Award, Enterprise Agreement, or registered workplace agreement that specifies how many hours must be worked to accrue each RDO, when they can be taken, and any rules around banking or cashing out accumulated days.
In plain English
An RDO is a paid day off you earn by working a few extra minutes every day. By the time you've done it for a fortnight or a month, you've accumulated enough time for a full shift — which you take as a day off, still getting paid.
✓ What an RDO is
- A paid day off accrued through working extra time daily
- Part of an Award or Enterprise Agreement entitlement
- Common in public sector, construction, and some contact centre roles
- Time already earned — not a bonus or free day
✕ What an RDO is not
- A universal entitlement — not all employees get RDOs
- Annual leave — it is accrued differently and used separately
- Overtime pay — extra time is banked rather than paid immediately
- Applicable to most casual employees
How Does a Rostered Day Off Work?
A Rostered Day Off works on the principle that employees work slightly more than the standard contractual hours each day — enough so that, over a set period (typically a fortnight or month), the accumulated extra time equals a full working day. The employee then takes that day off as a rostered, paid absence.
The frequency of RDOs depends entirely on the award or agreement. The most common arrangements are:
Monthly RDO
The most common arrangement. One paid day off per calendar month, accrued by working extra time each working day across the month.
Fortnightly RDO
One paid day off every two weeks. Common in construction and some public sector roles where awards specify fortnightly accrual cycles.
Flexible / banked RDOs
Some awards allow employees to bank accumulated RDOs rather than taking them as scheduled — subject to limits — and use them in blocks for extended leave.
Benefits of RDOs
RDOs give employees a regular, predictable day off beyond their standard leave entitlements — useful for scheduling personal appointments, errands, or simply recovery time. Research has also suggested that employees with regular RDOs are less likely to take unscheduled sick leave, which benefits operational planning for employers.
How is an RDO Calculated?
The calculation depends on the standard working day defined in your award or agreement. Here is the most common example using the public sector standard:
Standard working day: 7.6 hours (7 hours 36 minutes)
Many Australian public sector awards define the standard working day as 7.6 hours rather than 8 hours. This is the contracted hours for which the employee is paid their ordinary rate.
Actual hours worked each day: 8 hours
Employees work a full 8-hour day, accruing 0.4 hours (24 minutes) of extra time per working day beyond their contracted 7.6 hours.
Monthly accrual: 19 days × 24 minutes = 7.6 hours
Over a standard 19-working-day month, those 24 extra minutes per day accumulate to exactly 7.6 hours — one full working day earned.
Result: one paid RDO per month
The employee takes the 20th working day of the month off as a fully paid rostered day off. They have already worked the time — the RDO is their earned entitlement.
💡 The exact calculation varies by award
The 7.6-hour example above is specific to certain public sector arrangements. Your award or enterprise agreement will specify the exact accrual rate and frequency applicable to your role. Check the relevant award on the Fair Work Ombudsman website or speak with your HR team if you are unsure.
Who Gets an RDO?
Not all employees are entitled to RDOs. Entitlement depends entirely on whether your modern award, enterprise agreement, or registered agreement includes RDO provisions. Here is how it breaks down across the most common employment types:
Full-time employees
Full-time employees covered by an award or agreement that includes RDO provisions are entitled to them — typically one per fortnight or month.
Part-time employees
Part-time employees may be entitled to RDOs on a pro-rata basis, or may receive payment for all additional hours worked instead of accruing RDO time. Depends on the specific award or agreement.
Casual employees
Casual employees generally do not accrue RDOs. Any additional time worked by casual employees is typically paid as overtime or included in the casual loading rather than banked as RDO time.
Construction industry
RDOs are particularly common in the construction industry, where they are often set by specific industry agreements. Many construction workers receive fortnightly RDOs.
Public sector
Monthly RDOs are common in state and federal government workplaces, particularly under legacy agreements and awards with the 7.6-hour standard working day provision.
Contact centres
Some contact centre employees are entitled to RDOs under their award or enterprise agreement. Check whether your specific workplace agreement includes RDO provisions.
Frequently Asked Questions About RDOs
What does RDO stand for?
RDO stands for Rostered Day Off — a paid day off that Australian employees in certain industries and awards earn by working extra time each working day. Note: in other countries, "RDO" means something different entirely. This page covers the Australian workplace meaning only.
Is an RDO the same as annual leave?
No. Annual leave is a separate entitlement under the National Employment Standards — most full-time employees are entitled to four weeks per year. RDOs are an additional entitlement under specific awards or agreements, accrued by working extra time each day. They are tracked and managed separately and cannot be substituted for annual leave.
Do you get paid for an RDO?
Yes. An RDO is a paid day off — you receive your ordinary rate of pay for the day just as you would for any other working day. You are being paid for time you have already earned by working extra minutes each working day during the accrual period.
What happens if your RDO falls on a public holiday?
If a rostered RDO falls on a public holiday, most awards and agreements provide for the RDO to be taken on an alternative day — either the next working day or another agreed day. You would still receive the public holiday as a separate entitlement. Check your specific award or enterprise agreement for the exact provision that applies.
Can you save up RDOs and take them all at once?
It depends on your award or enterprise agreement. Some agreements allow employees to bank a limited number of RDOs and take them consecutively — effectively extending a period of leave. Maximum accrual limits typically apply, and your employer's agreement to the timing will generally be required. Check your specific award for the rules that apply to your situation.
Do you accrue annual leave while on an RDO?
Yes. In most cases, annual leave continues to accrue while an employee is taking an RDO, as it is treated as a paid working day for the purposes of service and leave accrual. Check your award or agreement if you are uncertain about how this applies to your specific situation.
When do you have to take your RDO?
Most RDOs are taken on an agreed day with the employer. Common arrangements include a fixed day each fortnight or month (e.g. every second Friday), or a flexible arrangement where the employee gives a minimum notice period. The specific terms are set by your award or enterprise agreement and agreed between you and your employer.
Are RDOs paid out when you leave?
It depends on the award or enterprise agreement. Some awards require accrued but untaken RDOs to be paid out on termination; others allow them to be forfeited or have specific rules about payout conditions. Check your award, enterprise agreement, or speak with the Fair Work Ombudsman for advice specific to your situation.
Where to Next
RDOs are one of several leave and entitlement concepts that apply to many Australian workplaces, including contact centres. If you work in customer service or a contact centre role, these resources will help you understand your broader entitlements and the industry you work in.
Customer Service Hub
Resources, tools, and practical guidance for customer service professionals — whether you're on the frontline or leading a team.
Penalty Rates
Understand the penalty rate loadings that apply to weekend, public holiday, and shift work — current rates under the Contact Call Centre Award.
Leave Without Pay
Everything you need to know about Leave Without Pay (LWOP) — when it applies, employee rights, employer obligations, and legal framework.
Australian Salaries Guide
Current contact centre salary benchmarks for all roles — from frontline agents to managers — with award context and state-by-state data.
Summary: What is an RDO?
An RDO (Rostered Day Off) is a paid day off that Australian employees earn by working a small amount of extra time each working day. Over a fortnight or month, those extra minutes accumulate to a full working day — which the employee takes as a paid rostered day off.
RDOs are not a universal entitlement. They apply where specifically provided for in a modern award, enterprise agreement, or registered workplace agreement. They are most common in the public sector, construction industry, and some contact centre and professional services roles.
For specific advice about whether you are entitled to RDOs, how they are calculated in your workplace, and what rules apply to taking and banking them, always refer to your relevant award or enterprise agreement, or contact the Fair Work Ombudsman.
