Working time recording has been mandatory for all employers in Germany since the Federal Labor Court (BAG) ruling in September 2022. According to Section 3(2) No. 1 of the Occupational Health and Safety Act (ArbSchG), the start, end, and duration of daily working hours must be recorded. Electronic time recording is expected to be legally specified in 2026 – with transitional periods for small and medium-sized enterprises.
Definition: What is the Working Time Recording Law?
The term "Working Time Recording Law" refers to the legal regulations governing the documentation of working hours in Germany. A standalone law with this specific name does not yet exist. Rather, the obligation to record working time derives from the interpretation of the Occupational Health and Safety Act (ArbSchG) by the Federal Labor Court (BAG).
The BAG – Germany's highest court for labor law – ruled in September 2022 that employers are already obligated under existing law to systematically record their employees' working hours. This ruling implemented a requirement set by the European Court of Justice (ECJ) in 2019 into German law.
Important to understand: Working time recording should not be confused with the Working Time Act (ArbZG), which regulates maximum working hours, breaks, and rest periods. The recording obligation supplements these regulations by making their compliance verifiable.
Legal Framework at a Glance
ECJ Ruling 2019 – The "Time Clock Ruling"
The starting point is the ECJ ruling of May 14, 2019 (Case C-55/18, known as the "CCOO ruling"). In this decision, the court ruled: All EU member states must require their employers to establish an "objective, reliable, and accessible" system for recording daily working time.
The background was a lawsuit by the Spanish trade union CCOO against Deutsche Bank. The ECJ argued that without systematic time recording, neither compliance with maximum working hours nor rest periods could be effectively monitored.
Federal Labor Court Ruling September 2022 – The Landmark Decision
On September 13, 2022, the BAG issued a groundbreaking ruling (Case No.: 1 ABR 22/21). The court clarified: Employers are already legally obligated under Section 3(2) No. 1 ArbSchG to introduce a system for recording employees' working hours.
The reasoning: The Occupational Health and Safety Act requires employers to provide "suitable organization" for occupational safety. According to the BAG, this includes a time recording system, as only this ensures compliance with maximum working hours and rest periods.
Current Legal Basis: Section 3(2) No. 1 ArbSchG
The central legal basis is Section 3(2) No. 1 of the Occupational Health and Safety Act. This obligates employers to "ensure suitable organization and provide the necessary resources" to guarantee occupational safety. The BAG interprets this provision to include working time recording.
Additionally, Section 16(2) ArbZG applies, which already required before the BAG ruling that working hours exceeding 8 hours per working day be recorded. This regulation was extended to all working hours by the BAG ruling.
What Must Be Recorded?
Start, End, and Duration of Working Time
According to the BAG ruling, the following data must be documented:
- Start of daily working time
- End of daily working time
- Duration of daily working time (as the result)
The records must be designed so that compliance with maximum working hours and rest periods can be verified.
Breaks and Overtime
Additionally, breaks should be documented as they do not count toward working time, and their proper provision also serves occupational safety. Overtime – meaning working hours beyond the agreed regular working time – is already subject to recording requirements under Section 16(2) ArbZG.
Who is Affected by the Obligation?
Employers: Responsibility and Duties
The obligation to record working time fundamentally applies to all employers in Germany – regardless of industry or company size. The key point: The employer must set up the system and ensure its use.
However, the practical recording can be delegated to employees. This means: Employees may enter their own times, for example via app or time sheets. The employer remains responsible for ensuring that the system exists and is actually used.
Exceptions: Senior Executives and Small Businesses
Special regulations apply to certain groups of people:
Senior executives as defined in Section 5(3) of the Works Constitution Act (BetrVG) are exempt from the Working Time Act. This includes managers with independent authority to hire or dismiss employees, or with general power of attorney or extensive procuration. Regular managers without these powers are subject to the recording obligation.
Small businesses with fewer than 10 employees are expected to be exempt from the electronic time recording requirement under the planned draft law. Manual records would continue to suffice for them.
Electronic or Manual? The Form of Time Recording
An important question for many employers: Must time recording be digital? The answer: Not yet mandatory.
The BAG explicitly left open in its ruling the form in which recording must take place. Manual records – such as handwritten time sheets or Excel spreadsheets – are currently still permissible.
However, the 2025 Coalition Agreement between CDU/CSU and SPD announces plans to regulate the "obligation for electronic recording of working hours in an unbureaucratic manner." For small and medium-sized enterprises, "appropriate transitional arrangements" are to be provided.
For employers, this means: Those still recording manually are currently acting in compliance with the law. However, it is advisable to familiarize yourself with digital solutions early, as the electronic requirement is foreseeable.
Flextime and Remote Work
Flextime Remains Possible
A common concern: Does the recording obligation mean the end of flextime (trust-based working hours)? The clear answer: No. Flextime as a working model remains permitted.
The crucial difference: Even with flextime, working hours must be documented. The flexible scheduling of working time by employees is unaffected. What is no longer possible: Not conducting any time recording at all.
The 2025 Coalition Agreement explicitly emphasizes that "flextime without time recording in compliance with EU law" should remain possible. The specific implementation remains to be seen.
Home Office and Mobile Work
The Working Time Act applies without restriction in the home office. Employers must therefore also ensure time recording for employees working remotely. Delegation to the employees themselves – for example, via app or digital input interface – is particularly practical here.
Important: Rest periods (at least 11 hours between two working days) and maximum working hours apply in the home office just as in the office. Time recording helps document their compliance.
Consequences of Violations
What do employers face if they don't introduce time recording? The answer is nuanced:
Direct fines specifically for the absence of a time recording system are currently not yet legally specified. The BAG ruling creates an obligation but no concrete sanctions.
Indirect consequences can, however, be significant:
- Violations of the ArbZG (such as exceeding maximum working hours) can be penalized with fines of up to 30,000 euros
- Official orders: Occupational safety authorities can order the introduction of a time recording system under Section 22(3) ArbSchG. Failure to comply with such orders can result in fines
- Burden of proof disadvantages: In labor court disputes over overtime, the lack of documentation can work against the employer
The Hamburg Administrative Court confirmed the authority of agencies to issue such orders in August 2024 (Case No. 15 K 964/24).
Current Developments and Outlook for 2026
The legal specification of working time recording is imminent. The 2025 Coalition Agreement contains clear statements:
- Electronic time recording is to become mandatory "in an unbureaucratic manner"
- Small and medium-sized enterprises will receive transitional periods
- Flextime should remain possible in compliance with EU law
- In parallel, a reform of working time law with a focus on weekly rather than daily maximum working hours is being discussed
A concrete draft law is expected for 2026. Employers should use the time to prepare – the BAG ruling already applies now.
Checklist: How to Implement Time Recording
For HR managers and executives, here are the key steps:
- Take stock: Is there already a time recording system? Are all employees covered?
- System selection: Decide whether to record manually (time sheets, Excel) or digitally (time tracking software, app). Keep in mind: Electronic will soon be mandatory.
- Involve the works council: If one exists, the works council has a co-determination right regarding the design of the system (not the "whether" but the "how").
- Regulate delegation: Determine whether employees record themselves or whether recording is centralized. Document the arrangement.
- Training: Inform all employees about the system and their obligations.
- Monitoring: Conduct spot checks to ensure the system is being used.
- Retention: Keep records for at least two years (Section 16(2) ArbZG).
Frequently Asked Questions About Working Time Recording
Is working time recording already mandatory in Germany?
Yes, since the BAG ruling of September 13, 2022 (1 ABR 22/21), working time recording is mandatory for all employers. The legal basis is Section 3(2) No. 1 of the Occupational Health and Safety Act. The obligation applies immediately and not only when a new law is passed.
What must be documented in working time recording?
The start, end, and duration of daily working time must be recorded. Breaks should also be documented as they do not count toward working time. Overtime must be recorded separately.
Must time recording be electronic?
Currently, electronic recording is not yet legally required. Manual records such as time sheets are currently permissible. However, the 2025 Coalition Agreement announces the obligation for electronic time recording, with exceptions for small businesses with fewer than 10 employees.
Are there exceptions to the time recording obligation?
Senior executives under Section 5(3) BetrVG – meaning managers with independent authority to hire or dismiss – are exempt from the Working Time Act. Regular managers without these powers must be recorded. For small businesses with fewer than 10 employees, relaxations regarding electronic recording are planned.
What happens in case of violations of the time recording obligation?
Direct fines for the absence of a time recording system are not yet legally regulated. However, occupational safety authorities can order the introduction and violations of these orders are sanctioned. Violations of the Working Time Act itself (such as exceeding maximum working hours) can be penalized with fines of up to 30,000 euros.
Is flextime still allowed?
Yes, flextime remains possible. However, working hours must still be documented even with flextime. The flexible scheduling of work by employees remains permitted – only complete non-recording is no longer allowed.
How does working time recording work in the home office?
The Working Time Act applies without restriction in the home office. Employers must ensure time recording for mobile work as well. Delegation to employees – for example via app – is common and permissible. Rest periods and maximum working hours apply as in the office.
May employees record their own times?
Yes, time recording can be delegated to employees. However, the employer remains responsible for setting up and using the system. It is advisable to conduct spot checks to ensure the system is actually being used.
Conclusion
Working time recording has been mandatory for all employers in Germany since the 2022 BAG ruling – not only when a new law is passed. HR managers should act now: set up a system, inform employees, and keep an eye on the upcoming electronic recording requirement.
The good news: Flextime and flexible working time models remain possible. The recording obligation concerns documentation, not the design of working time itself.
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Sources
- Federal Labor Court (Bundesarbeitsgericht): Ruling of September 13, 2022, Case No. 1 ABR 22/21. https://www.bundesarbeitsgericht.de/entscheidung/1-abr-22-21/
- European Court of Justice: Ruling of May 14, 2019, Case C-55/18 (CCOO). https://curia.europa.eu/
- Occupational Health and Safety Act (Arbeitsschutzgesetz – ArbSchG), Section 3(2) No. 1. https://www.gesetze-im-internet.de/arbschg/
- Working Time Act (Arbeitszeitgesetz – ArbZG), Section 16(2). https://www.gesetze-im-internet.de/arbzg/
- Coalition Agreement 2025 "Responsibility for Germany" (Koalitionsvertrag 2025 „Verantwortung für Deutschland"), CDU/CSU and SPD.
- Federal Ministry of Labor and Social Affairs (BMAS): FAQ on Working Time Recording. https://www.bmas.de/
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