Time Tracking Compliance in Germany: Meeting Arbeitszeitgesetz Requirements

Germany’s Working Hours Act (Arbeitszeitgesetz, ArbZG) sets strict rules on recording working time. Since recent court rulings, employers must systematically track hours for nearly all employees. This guide explains what to record, how to stay compliant, and how digital tools simplify the process.

1. Legal backdrop

• Arbeitszeitgesetz (ArbZG): Governs daily/weekly limits, breaks, and rest periods.
• ECJ 2019 ruling and BAG 2022 decision: Require objective, reliable time tracking for all employees, not just overtime.
• Sector specifics: Additional rules may apply via collective agreements or youth protection.

2. What must be recorded

• Start and end of daily working time
• Break durations
• Overtime and Sunday/holiday work
• Deviations from standard schedules (e.g., on-call service) Records must be accurate, tamper-resistant, and retained (at least two years recommended; check collective agreements).

3. Daily and weekly limits

• Max 8 hours per day; extendable to 10 if the six-month average stays at 8.
• At least 11 hours rest between shifts.
• Sunday and public holiday work generally prohibited; exceptions require compensatory rest.

4. Break rules

• 30 minutes break for shifts over 6 hours; 45 minutes over 9 hours.
• Breaks must be taken in blocks of at least 15 minutes.
• Working during breaks is not allowed; tracking must reflect real break time.

5. Employer obligations

• Provide a system to capture time reliably (paper is allowed but digital is easier to audit).
• Inform employees about rules and ensure data protection (GDPR applies).
• Enable works council participation where co-determination is required.

6. Choosing a compliant time tracking setup

• Objective capture: Badge, app, or desktop timer that prevents backdating.
• Auditability: Immutable logs, change history, and role-based access.
• GDPR alignment: Data minimization, retention policies, and transparent privacy notices.
• Integrations: Payroll exports, overtime approvals, and scheduling.

7. Overtime and flexibility

• Overtime must be approved and documented.
• Flexitime models need clear bandwidth rules and cut-off periods.
• Track working-from-home hours identically to on-site work.

8. Penalties and risks

• Violations can trigger fines and labor inspections.
• Missing records shift the burden of proof to employers in disputes.
• Poor tracking makes it hard to manage overtime budgets and burnout risk.

9. Implementation checklist

• Define policies (breaks, overtime approval, remote work).
• Select a tool with immutable logs and GDPR controls.
• Train employees and managers; document processes.
• Monitor weekly for limit violations and resolve within the averaging window.

10. How our Time Tracking tool helps

The arbeitszeiterfassung tool captures start/end times, breaks, and overtime with audit trails. Use it to meet ArbZG requirements, export records for payroll, and give teams clarity on hours and rest periods.