Federal Labor Court Ruling on Time Tracking: Implications for Employers
The landmark decision by the Federal Labor Court (BAG) on September 13, 2022 confirms that employers in the EU are required to systematically record their employees’ working hours. By implementing a software-based time management system, companies position themselves for the future.
According to the European Court of Justice (ECJ) ruling from May 14, 2019, employers in the EU are obligated to systematically record working hours. This requirement was reaffirmed by the Federal Labor Court (BAG) in its ruling on September 13, 2022, which is based on a provision in the Occupational Health and Safety Act (ArbSchG).
Since this requirement is mandatory for employers, a suitable system must be introduced. According to the ruling, time tracking must be objective, reliable, and accessible. If employers have so far only recorded overtime and Sunday work, there is now an urgent need to document all working hours. Whether a software solution is implemented or a reliably maintained overview is deemed sufficient has not yet been clearly defined by lawmakers. However, one thing is certain: by adopting a software-based time management system, companies take a forward-looking approach and benefit from numerous advantages.
Time Recording Doesn’t Have to Be a Step Backward
Recording working hours doesn’t mean companies have to revert to rigid work schedules - quite the opposite. Flexibility remains possible within legal and contractual frameworks. Employees can still organize their working hours independently within the agreed weekly or monthly limits. However, time tracking is mandatory. Uncontrolled overtime will no longer be possible.
Modular Software Solutions Offer a Key Advantage
Companies need software that can manage a wide range of working time models and automate processes. Interflex’s solutions are mobile and accessible from any device, and thanks to employee self-service features, staff can take responsibility for their own time tracking. This leads to high employee satisfaction and reduces administrative effort. Mobile time tracking software also supports remote work models like home office, since only the place of work changes—not the time model.
Digital time tracking systems also offer advantages for HR professionals: if maximum working hours are exceeded or break and rest periods are violated, the transparent data allows for timely intervention.
Planning Workforce Needs Based on Key Metrics
A digital workforce management solution is ideal for planning working hours in advance—taking into account all collective agreements, legal requirements, and internal payroll parameters. Fluctuating staffing needs can be accurately forecasted using key metrics such as sales figures, order volumes, call numbers, or occupancy rates, allowing for precise personnel planning.
Learn more about digital time tracking and workforce management and how intelligent solutions can help you modernize the working world in compliance with legal requirements.