In the modern world of work, flexible working hours And overtime is often the rule. But where is the line between committed commitment and illegal conduct? The German Working Hours Act sets clear limits to protect employees. In our blog article, we shed light on legal regulations, explain possible penalties for violations and give practical tips on how both employees and employers comply with the regulations and oppose Working time fraud Be able to protect.
Current Requirements: How must working hours be recorded?
According to the German Working Hours Act, working hours must be recorded precisely and reliably to ensure compliance with legal requirements. In particular, Section 16 (2) ArbZG states that the employer is obliged to record working time beyond working hours and to keep the records for at least two years. This documentation requirement serves to protect employees and to be reviewed by supervisory authorities.
Fines: How much do violations of the Working Hours Act cost?
The exact recording of project time is not only good business practice, but also a requirement in court and partly agreed by collective agreements in Germany. Companies that violate the Working Hours Act expose themselves to the risk of fines and other consequences.
Excerpt from the catalog of fines
Violations of the Working Time Act are often treated as administrative offenses and can result in fines of up to 30,000€ per infringement Be punished. These fines can be imposed on both the company and the responsible manager personally. The exact amount of the fine is at the discretion of the competent supervisory authority in accordance with state law (e.g. district government, trade inspectorate). The current catalog of fines, published by National Committee on Occupational Safety and Safety Technology (LASI) is published.
The five most common violations and their fines:
(“10-hour limit”) Up to 1 hour: €80
Each additional half hour started: €100
(“8-hour limit”) Per hour started: 600 €Failure to grant prescribed breaks: 400 €Failure to comply with the minimum rest period (11 hours) Per hour started: 80 €Violation of the obligation to record working hours Per case per employee: 1.600€
Even though the individual fines appear manageable at first, they can quickly add up to five or six-figure amounts, even in smaller companies. This is because the Statute of limitations two years And the supervisory authority can check the working time sheets of all employees for the last 24 months in order to punish any violations identified accordingly. In addition, can Repeated and intentional infringementsWho endanger the health of an employee are prosecuted. These can be done with Imprisonment of up to one year Or be punished with fines.
Reputational damage
Companies that violate time recording regulations risk their reputation and credibility. This can lead to a loss of trust among customers, business partners and employees and have long-term negative effects. Violations of occupational health and safety laws quickly lead to negative media coverage, as with an Amazon subcontractor in 2021, who was criticized in the ZDF magazine “Frontal.” Amazon filed a criminal complaint back then after the subcontractor exploited its employees, which led to barely sustainable salaries, work pressure, unpaid overtime and disregard of legal rest periods.
Violation of the Working Hours Act: Which rules must be adhered to?
Violations of working time regulations are no trivial matter — quite the opposite. They affect the health of employees and can result in high costs in an emergency. The saying “Ignorance does not protect against punishment” applies particularly to working hours. Since the Working Hours Act is intended to ensure the health protection of employees, compliance lies with the employer.
Break time
Not only does your body tell you when it is high time to take a break, the legislator also has strict rules as to when a break MUST be taken. This is regulated in Section 4 of the Working Hours Act.
Working hours per dayMinimum break timeMaximum working time without a break6 to 9 hours30 minutes6 hoursOver 9 hours45 minutes6 hours
After six hours at the latest, the legislator requires a A break — This also applies to the most dedicated workaholic. However, employees can divide their breaks into several sections — the break does not have to be taken in one go. A small sample calculation: You start your work at 8 o'clock in the morning. In this case, according to the ArbZG, you must take a break of 30 minutes at the latest at 14:00. However, you can split this half hour into two 15-minute sections — such as a break from 12:30 to 12:45 and the next from 1:45 to 14:00. But beware: A break block must be at least 15 minutes long!
Maximum working time
Suppose that in a company, an employee drops out unexpectedly, while at the same time an urgent complaint needs to be handled and an important customer request arrives. Another employee, Müller, is the last to stay in the office after a 12-hour day to get everything done — but this is against the Working Hours Act. This is because the following limits apply to maximum working hours:
Rule descriptionWorking hours per week up to 48 hours per week, spread over Monday to SaturdayDaily working timeMaximum 8 or 10 hours per day Flexibility on Monday to Thursday 10 hours, Friday 8 hours, sharing is allowedLimits maximum 60 hours per week, not transferable to 5 daysExceptions to a maximum of 10 hours per day requires an average of 8 hours within 6 months or 24 weeks
Rest periods
There are different views on whether you live to work or work to live. But when it comes to the legally required rest period, there is no room for discussion: There must be at least 11 hours between the end of one working day and the start of the next — even in the following situations:
📞 A phone call after a business lunch counts as working time, and the 11-hour rest period starts afterwards.
🍽️ Business lunches count as working time if they are part of the task or have been arranged by the manager.
🏡 The legal regulations on rest periods must also be complied with when working from home.
Sundays and holidays
The Working Hours Act sets a general ban on employment on Sundays and public holidays, with exceptions for certain occupations and emergencies. Employees who still have to work on these days are entitled to at least 15 free Sundays a year. Exemptions can be requested for work on Sundays and public holidays, but replacement days must be granted, usually within two weeks for Sundays and within eight weeks for public holidays.
However, it is possible to apply to the competent supervisory authority for an exemption to work on these days. This includes:
1. A maximum of 10 Sundays and public holidays per year in retail stores for open Sundays.
2. One Sunday a year to carry out the legally required inventory.
3. A maximum of 5 Sundays and public holidays per year to avoid disproportionate damage, which must be significant and work on these days must be justified. This could be, for example, the impending production downtime due to unexpected repairs.
Special Features: What exceptions are there?
As is generally known, exceptions confirm the rule — even when it comes to working time:
The assessment of whether travel time should be regarded as working time depends on the means of transport used and on how employees may or must spend the time during the trip. With
Is the driving time for the driver working time, while the passenger usually has free time.
If employees work part-time for another employer or are self-employed on a part-time basis, both the maximum permitted working time and the rest period of 11 hours apply in total. The Working Hours Act focuses primarily on dependent employment, but running your own business is generally permitted as long as it is not in competition with the main employer. However, excessive self-employment may be prohibited, in particular if it leads to fatigue and impairs the fulfilment of employment law obligations with the main employer.
It is important to note that for particularly vulnerable groups such as pregnant and breastfeeding women,
And severely disabled people may apply special regulations and working time restrictions. These relate in particular to the maximum permitted working time, overtime and work on Sundays and public holidays.
When is recording working time particularly important? 3 examples
The importance of accurate recording of working time covers various areas, from public procurement to customer billing and compliance with employment law regulations. Especially in industries where public money is involved or hourly billing is common, accurate time recording is essential to avoid contractual penalties and maintain customer trust.
Public contracts
When awarding public contracts, there are often strict requirements for project time recording. Contracting authorities need detailed records to ensure that contractual obligations are met and that public funds are used correctly. Failure to meet these requirements may result in contract penalties or even exclusion from future assignments.
Customer billing
When you bill customers by the hour, it's essential to accurately record project time. Mistakes or irregularities in project time recording can lead to a loss of trust among your customers and question the financial integrity of your company. In addition, there may be disputes over the services provided and payment defaults. This can be remedied by time sheets that can be sent regularly during the project period. All times worked are then broken down in detail once again in the attachment to the invoice.
Labor law regulations
Unless otherwise specified in collective agreements or company/service agreements, the following applies: Working time must be documented (electronically). Companies with up to 10 employees are subject to the electronic registration requirement
ZEP: Your tool to avoid violations of the Working Hours Act!
We know exactly that recording project times can be a complex and demanding task. Companies face various challenges when it comes to accurately recording and documenting project time. Are you still relying on manual project time tracking methods? Don't do that! Errors and inaccuracies are almost inevitable. Why
🕒 Forgotten or incorrectly entered project times by employees
📉 Susceptibility to human error when recording manually
💸 Possible consequences: incorrect billing, excessive working hours, irregularities in reports
🔍 Lack of transparency due to incorrect or incomplete project time recording
📊 Lack of billing overview leads to difficulties with planning and cost control
⚠️ Risk of not keeping track of project progress and identifying problems in good time
So that you can protect yourself as best as possible from legal consequences, it is advisable to ensure that appropriate measures are implemented. A modern software solution for Project time recording How ZEP can help you ensure compliance with legal requirements and avoid potential consequences. With ZEP, you are already meeting all legal and working time requirements.
Conclusion
In the modern world of work, compliance with the Working Hours Act is essential to protect both employees and employers. Violations can result in severe fines and damage a company's reputation. Accurate recording of working time is therefore crucial to comply with legal regulations and avoid potential consequences. Modern solutions such as ZEP make this task easier and offer transparency and legal security.
