Not All "Working Days" Are Created Equal

In construction, the term “working day” can hold different meanings than what we typically think. While most people consider working days to be Monday through Friday, excluding weekends and public holidays, this definition can vary significantly in construction contracts. Understanding these differences is critical for anyone involved in a construction project, as they can directly impact project timelines, costs, and overall management.

The Importance of Working Days in Construction

Working days are fundamental in the management of construction projects. They govern key elements such as deadlines, completion schedules, and payment timelines. For instance, if a contract specifies that only certain weekdays qualify as working days, any delays that occur on non-working days could shift the entire project timeline, potentially leading to penalties for late completion.

Construction professionals need to read their contracts carefully. Understanding when to submit extensions of time requests can hinge on the definition of working days set forth in the contract. This attention to detail can prevent costly mistakes and keep projects on track.

NZS 3910 and 3916: A Common Starting Point

Under NZS 3910:2013 and NZS 3916:2013, a "working day" is defined as any day other than:

• A Saturday or Sunday;

• A public holiday observed in the region where the work is carried out;

• The period from 24 December to 5 January (inclusive).

  
  

So if your claim is due on the 20th of the month and that happens to fall during the Christmas period or right after Easter Monday and ANZAC Day (hello, April), suddenly the due date moves significantly. And that can impact when your payment certificate is issued, when payment is due, and when late payment interest might start to accrue.

Additionally, if your project involves team members traveling from various regions that having different regional holidays, or if your project operates on a fast-track model requiring shift work, it is crucial to clearly define what constitutes a "Working Day" in your contract to avoid any potential misunderstandings.

The Bespoke Trap

Some contracts, especially those written by principals or head contractors, may tweak the definition of a working day. For example, a contract may:

• Include Saturdays as working days;

• Exclude regional anniversary days;

• Define a working day based on administrative staff availability (e.g., excluding rostered company-wide days off);

• Fail to define it at all, leaving it open to interpretation or legal challenge.

  
  

If you don't read the fine print, you're setting yourself up for surprises.

"Received" or "Deemed Received"?

In construction, timing is everything. Many contracts say that payment claims must be "received" by a certain date, not just sent. If your claim is emailed at 11:58 pm on the 20th, but the contract administrator doesn’t open it until the 21st — is it late?

Some contracts clarify this with terms like "deemed received" — meaning if you send it during working hours on a working day, it counts as received that day. But again, this depends on whether working hours are defined.

Working Hours: When Does the Clock Start (and Stop)?

Working Hours is the less discussed but equally important in the contract. If your site or client's office is only open from 9am to 3pm, and you submit a claim at 4pm, is that still within the required period?

Certain contracts state that claims must be submitted by "close of business" or during specific administrative hours. Does this refer to the typical industry practice, the Principal's working hours, or your own? Other contracts are even more problematic, as they do not address this issue at all. Unfortunately, this lack of clarity leads to ambiguity.

Let’s say you’re on a project using NZS 3910 and the contract doesn’t modify standard clauses. If your 20th-of-the-month claim due date falls on a Sunday like this year, that follows two consecutive long weekends (e.g., Good Friday on 18th and Easter Monday on 21st, then ANZAC Day on the following Friday the 25th), you're suddenly in murky water:

• Is April 17th your last working day before the 20th?

• Or does it shift to the 22nd because of the long break?

• What about claim to be submitted on the 25th? Do you submitted on 24th, or 28th?

A Real-World Impact

In practical terms, this can affect:

• When you submit your payment claim

• When the payment schedule is due back

• When you’re legally entitled to receive payment

• Whether you can claim interest on late payment

• Which day to start calculating your extension of time

• Which day to start calculating the liquidated damage

  
  

Five days might not sound like much, but for a subcontractor managing tight cash flow, those days matter. For a head contractor preparing consolidated claims to the principal, misalignment can cause major headaches.

Best Practices for Managing Working Days

To effectively navigate the complexities surrounding working days, construction professionals should adopt these practices:

1. Check the contract definition early Don’t assume all contracts treat working days the same. Look it up. Mark it in your calendar. Share it with your team.

2. Clarify about the unclear part If anything is unclear, especially around regional holidays or year-end closures, ask for clarification in writing.

3. Submit early Don’t wait until the deadline. Aim for at least one working day earlier to allow for any unexpected issues.

4. Define working hours if not specified In your correspondence or clarifications, state that you consider claims submitted by, say, 5pm to be received that day unless stated otherwise.

5. Plan around long weekends Mark out national and regional holidays at the beginning of the year. Be aware of how they affect your key dates.

   
   

By integrating these best practices into your operations, you can better handle the intricacies around working days, facilitating smoother project management and minimising setbacks.

Final Thoughts

So yes, two long weekends in a row might be great for a BBQ, a road trip, or catching up on sleep. But if you're working under a construction contract, they can quietly move your payment date, delay your cash flow, or even void your claim.

The definition of a working day seems like a small clause — but it's often one of the most important.

Because in construction, timing isn't just everything. It's the contract.