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European Court of Justice verdicts: Employers must introduce Time Tracking Systems in order to record working hours

19.02.2020 | Time Tracking Systems

LTV's Blog to the verdict of the European Court of Justice to time tracking systems
The verdict of the European Court of Justice (EuGH) C555.18, 15.05.2019 obligates every employer in the European Union (EU) to track working hours of their employees in a provable manner and on a daily basis.

The EuGH is common Court of Justice for all European member states, therefore all of his verdicts are mandatory for the national courts and citizens within the EU, so no transformation in national law is necessary as conflicting national regulation is insignificant.

As a consequence, all employees of any company are now enabled to claim time tracking of their working hours. Employers who do not take the corresponding measures will be facing severe disadvantages. For example when it comes to overtime hours, the verdict means that the burden of proof gets effectively reversed: If the employees claims a certain amount of overtime, the employer is now obligated to prove to the contrary. Before, it used to be just the other way round. Hence any employer without a time tracking system will be set up badly for court proceedings about overtime hours. In this context the European Court of Justice emphasized that the employee is to be seen basically as the weaker party of the working contract so that any obstacle in claiming employee´s rights has to be removed. It stated that without a reliable system that keeps accurately record of working hours, the employee will effectively be prevented from claiming his rights. Only an obligatory time tracking system makes it possible for employees to gather valid and objective data in terms of actual working hours and to state their corresponding claims to authorities and courts. According to the verdict, the EU-member states are obliged to take all necessary steps to define the concrete modalities for the realization of these systems, especially in regards to configuration, size and extensivity.

So, finally some good news can be recorded concerning employers: The matter of HOW time tracking has to be integrated in daily business is left open by the EuGH and is therefore still to define yet. Employers will at least have a quite wide discretion in implementing this issue. Meanwhile, there are already several suitable digital time tracking systems available, be it via chip or by mobile-app. Do not hesitate to contact us as we will have the matching solution for the individual demands of your business!

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