Violations of working time tracking: What are the penalties?
Violations against the recording of working hours can quickly become expensive for companies in Germany and Austria, as the legal requirements are strict and are being monitored ever more closely. The world of work is changing rapidly and with it the demands on companies to make their processes clear, transparent and legally compliant are also increasing. Especially the Working time tracking is at the heart of this, because it not only ensures fair compensation for overtime and compliance with rest periods, but is also a legal obligation. It is therefore worth knowing the legal basis in detail and finding practical solutions such as Digital time tracking or Mobile time tracking to effectively avoid risks.
Why the topic is important now: Obligation to Working time tracking in Germany
In Germany, the Federal Labor Court on 13.09.2022 (Ref. 1 ABR 22/21) clarified: Employers must introduce a system to record the start and end of daily working hours. This obligation arises from Section 3 (2) No. 1 ArbSchG, and it applies regardless of whether the system is digital or analog.
In Austria, there have long been clear obligations to Working time tracking. According to § 26 AZG, companies must document every hour worked. Violations are punishable by the district administrative authorities with administrative penalties in accordance with § 28 AZG.
What exactly needs to be recorded: Time sheets in practice
In Germany, Section 16 (2) ArbZG obliges employers to working hours in excess of the working day of eight hours and to keep the evidence for at least two years. Furthermore, additional documentation obligations apply in many sectors in accordance with Section 17 MiLoG. Here, the start, end and duration of working hours must be recorded by the end of the seventh following calendar day at the latest.
In Austria, § 26 AZG requires comprehensive documentation of all working hours, including working through periods. The labor inspectorate has published clear guidelines and practical examples to provide companies with guidance.
GermanyLegal basis, responsibilities and fines
In Germany, compliance with the Working Hours Act is monitored by the competent supervisory authorities under national lawfor example, the trade supervisory offices.
Fines:
- According to § 22 ArbZG, penalties of up to 30.000 € be imposed.
- Violations of the documentation obligations under MiLoG (§ 17, § 21) can also result in fines of up to 30.000 € result.
Because the amount varies from case to case, companies should always keep clean records and be able to respond to requests from the authorities.
Germany: When is there even a threat of criminal proceedings?
The situation becomes particularly serious when companies deliberate violate and thereby endanger the health of employees or if they persistently repeated violate the law. In such cases, Section 23 ArbZG Prison sentences of up to one year or high fines. Negligence can still result in prison sentences of up to six months.
AustriaAZG/ARG - Obligations, controls and administrative penalties
In Austria, the Working Hours Act (AZG) not only maximum working hours and rest periods, but also the Obligation to keep records Anyone who violates this provision commits an administrative offense pursuant to § 28 AZG. The penalties range from 218 € to 2,180 €and in the event of a repeat offense, the penalties increase to 360 € to 3,600 €.
In addition, the Work Rest Act (ARG) weekend and public holiday rest. Here too, there is a risk of administrative penalties if employers violate the regulations.
Austria: Special case roster - when it is sufficient as a record
If a company specifies fixed working hours, the Duty roster are regarded as working time records. However, it is important that employers confirm compliance at the end of each pay period and that deviations are documented separately. This is the only way to ensure that the records remain legally compliant.
Typical violations - from missing breaks to incorrect digital time recording
In practice, violations often occur in the same areas:
- Missing Complete working time recordsespecially in the case of overtime.
- Breaks are not documented correctly or rest periods are not taken.
- Responsibilities are unclear, for example in companies with several locations or in temporary work.
All of these violations can lead to fines or administrative penalties in both Germany and Austria.
How companies avoid violations: Processes, training and Time tracking software
To avoid the threat of penalties in the first place, companies should clearly regulate their processes and clearly assign responsibilities. Who is responsible for monitoring the Time sheets responsible? Who checks whether breaks and rest periods are being observed? Such questions must be answered clearly.
In addition, a modern Time tracking software or a Electronic time recordingto ensure compliance with the regulations. Especially in industries with MiLoG documentation obligation a software solution makes it much easier to provide evidence to the authorities.
Mobile time recording & Home office: legally compliant implementation
With the increasing spread of working from home and flexible working models, the Mobile time tracking increasingly important. Employees can record their working hours directly via apps or web solutions. However, to stay on the safe side, companies should ensure that the systems function reliably and comply with the statutory retention periods.
Checklist & table: Fines/penalties at a glance
Germany - Fines and penalties
| Range | Legal basis | Consequence |
|---|---|---|
| Violation of working time regulations | § 22 ArbZG | Fines of up to € 30,000 |
| Violation of recording obligations | § 17, § 21 MiLoG | Fines of up to € 30,000 |
| Intentional or repeated violations | § 23 ArbZG | Imprisonment for up to 1 year or a fine |
Austria - Administrative penalties
| Range | Legal basis | Consequence |
|---|---|---|
| Missing records | § 26 in conjunction with § 28 AZG | 218 € - 2,180 €, repetition 360 € - 3,600 € |
| Violations of rest periods | § 27 ARG | Administrative penalty |
| Duty roster as a record - deviations missing | Practical guide to labor inspection | Administrative penalty depending on the violation |
Act with legal certainty - with electronic time recording Secure sustainably
In Germany, case law requires that companies must Working time tracking organize reliably. In Austria, these obligations have existed for a long time and the penalties clearly show that negligence can be expensive.
Whoever waits for a Digital time tracking and clearly structured processes not only avoids penalties, but also strengthens transparency, trust and fairness within the company. A modern Time tracking software or a Mobile time tracking are therefore the best partners to satisfy employees, supervisory authorities and companies alike.
FAQ
Is there an obligation to record working hours in Germany?
Yes, the Federal Labor Court ruled in 2022 that employers must introduce a system for recording the start and end of working hours.
How high are fines in Germany?
According to § 22 ArbZG up to € 30,000, and for violations of § 17 MiLoG also up to € 30,000.
Who controls this in Germany?
The supervisory authorities responsible under state law, such as trade supervisory offices.
What is the threat in serious cases?
In the case of intentional, health-endangering or repeated violations, there is a risk of imprisonment for up to 1 year or fines.
What are the penalties in Austria?
Violations of AZG obligations are subject to administrative fines of between € 218 and € 2,180, and up to € 3,600 in the event of a repeat offense.
Is the duty roster sufficient in Austria?
Yes, in the case of fixed scheduling, the duty roster can be considered a working time record if deviations are documented separately.
