Overtime is a central part of many employment relationships. But what about the overtime allowance — particularly for part-time workers? A recent Judgment of the Federal Labour Court of December 5, 2024 strengthens the rights of parttime workers and makes it clear that there must be no unequal treatment compared to full-time employees when it comes to paying overtime. Find out what the verdict means, which regulations apply and how part-time workers can also benefit from overtime allowances.
What is an overtime allowance?
Overtime allowances are financial incentives granted to employees for the extra work they have done beyond their contractually defined working time. They are used to reward the additional expenses of employees and can be granted either as a percentage supplement to the regular hourly wage or as a time credit.
Until now, it was usual for parttime workers to receive a supplement only when their overtime exceeds the working hours of a full-time employee. This has changed as a result of the current verdict.
The verdict of the Federal Labour Court in detail
🕵️ Lawsuit filed by a nurse
- A part-time nurse had worked around 130 hours of overtime by the end of March 2018.
- However, her house collective agreement did not provide for any surcharges as long as she did not exceed the working hours of a full-time employee.
⚖️ Decision of the Federal Labour Court (BAG)
- The BAG ruled that this provision constituted discrimination.
- The reason: Unequal treatment without factual justification violates the prohibition of discrimination.
- The plaintiff received a time credit retroactively for her overtime.
👩 ⚖️ Why is the verdict special?
- More than twelve million part-time workers in Germany, the majority of whom are women, are potentially benefiting from this ruling.
- The previous regulation has led to an indirect discrimination against women, as they work part-time more frequently.
Benefits of an overtime allowance for part-time workers
Steps to implement the overtime allowance
This is how companies implement overtime allowances in accordance with the law:
- Review of existing regulations: Analyze current collective agreements or works agreements.
- Adjustment of surcharge rules: Make sure that overtime allowances are granted regardless of the type of contract.
- Communication with employees: Inform your employees about new regulations and their benefits.
- Ensuring equal treatment: Monitor implementation to avoid discrimination.
Legally secure implementation of the BAG ruling with ZEP
With the Overtime, Absenteeism & Vacation Module ZEP offers a comprehensive solution for employers who want to comply with the decision of the Federal Labour Court (BAG). The software simplifies the management of overtime and ensures transparency and legal certainty in calculation and billing — for both part-time and full-time employees.
Automated overtime calculation and administration
ZEP enables the automatic recording and calculation of overtime by storing individual standard working hours per employee. The comparison with time recording ensures that overtime is immediately identified and precisely documented.
Benefits of ZEP at a glance
- Automatic management of an overtime account for each employee
- Flexible management of compensation periods or overtime payouts
- Ability to work overtime based on contractually agreed limits
💡 Another advantage 💡
For monthly financial statements, overtime included in the contract is automatically deducted in ZEP, so that there is no double payment.
Clear documentation of absences
Complete documentation of absenteeism is essential for the fair and legally compliant billing of overtime. ZEP supports this with a precise absenteeism overview:
- Managing absences from the calendar
- Differentiation between categories such as illness, parental leave or unpaid leave
Employers benefit from a transparent overview of absences and can ensure that all data is correctly included in the calculations.
Optimized vacation and leisure compensation planning
ZEP makes it easier to manage vacation and time compensation claims by:
- Seamless integration of vacation requests into the calendar
- Automatic notifications during approval processes
- Real-time overview of remaining vacation days
Employees can pay compensation periods for worked overtime apply directly, which significantly simplifies coordination and planning within the team.
ZEP features for overtime management
With ZEP, employers implement BAG requirements for overtime pay in an efficient and legally secure manner. With automated processes and a clear overview, you always have control over working hours and absences — an indispensable support for modern personnel management.
conclusion
The Federal Labour Court's ruling is a milestone for part-time workers and sends a clear signal of equal treatment and fairness. Employers are now required to adjust their internal regulations and to grant overtime allowances to all employees — regardless of their type of contract.
Parttime workers can thus not only benefit from their extra work, but also count on fair recognition of their achievements.
FAQs
What effects does the BAG ruling have on the remuneration of part-time workers?
The BAG ruling makes it clear that part-time workers must not be disadvantaged when it comes to paying overtime. Employers are required to provide supplements for all overtime hours, regardless of whether they exceed the working hours of a full-time employee.
As an employer, how can I implement the BAG ruling in a legally secure manner?
Legally compliant implementation requires the adjustment of existing working time regulations and monitoring overtime accounting. With digital tools such as ZEP, overtime can be automatically recorded, calculated and managed in accordance with requirements.
Why is the BAG ruling particularly relevant for part-time workers?
In particular, the ruling protects women who work part-time more frequently from indirect discrimination. It ensures equality and recognition of overtime worked and sends an important signal for fair working conditions.
