The Mandate for Time Tracking in Germany: Understanding the Legal Landscape
In Germany, the mandate for comprehensive employee time tracking stems from significant legal rulings. The European Court of Justice (ECJ) in May 2019 and the German Federal Labor Court (BAG) in September 2022 have made it obligatory for employers to meticulously record not just overtime but the full working hours of their employees. This requirement is anchored in Section 3(2) No. 1 of the German Occupational Health and Safety Act (ArbSchG). By December 2025, electronic recording of all working hours will become mandatory for all employers, ensuring digital capture of start times, end times, and breaks.
Non-compliance with these regulations can lead to penalties up to EUR 30,000. Employers must ensure their systems are objective, reliable, and accessible to meet these standards. Harvest aligns with this mandate by providing tools that allow precise tracking of project-specific hours and absences, ensuring compliance with both current and future legal requirements.