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This may occasionally have been a pyrrhic victory for one employer earlier than the German Federal Labour Courtroom that will result in results on all employers: Whereas the very best German labour courtroom discovered that German works councils (Betriebsräte) wouldn’t have a proper of co-determination in digital time recording, i.e., works councils can not implement introductions of such techniques, the courtroom might have discovered that each one employers are legally obliged to introduce a system for recording working time anyway.

Co-determination on the introduction of digital time recording

Within the case decided by the Federal Labour Court, the employer and the works council argued concerning the conclusion of a store settlement (Betriebsvereinbarung) on digital time recording. In the midst of the earlier negotiations about such store settlement, the employer determined to not introduce digital time recording in spite of everything and the negotiations have been damaged off. Within the court-appointed conciliation board involved with this concern, the employer was of the opinion that the works council didn’t have the precise of initiative to introduce digital time recording. The works council then went to courtroom to implement the employer to comply with such a store settlement.

Authorized obligation to introduce time recording, nonetheless?

Opposite to the earlier resolution by the Regional Labour Courtroom, the Federal Labour Courtroom rejected a proper of initiative of the works council to introduce a store settlement on digital time recording.

What’s sudden is the reasoning behind this resolution. The Federal Labour Courtroom is of the opinion that such obligation to report all working time already exists by statutory regulation, albeit solely after interpretation according to European regulation. Thus, a proper to co-determination of the works council just isn’t mandatory.

Whereas the German Occupational Well being and Security Act merely stipulates that the employer should ‘guarantee applicable group and supply the mandatory assets’ to ensure ample occupational well being and security, the European Courtroom of Justice determined in a Spanish case in 2019 that an obligation to report working time exists for employers. Nevertheless, the German Federal Authorities and laws didn’t change the present German regulation, which explicitly solely requires to report time beyond regulation in addition to work on Sundays and public holidays. Whereas many authorized pundits had doubts if the German system was in compliance with the choice of the European Courtroom of Justice, the latest developments in employment regulation – in direction of extra working from residence and extra versatile working hours – have brought on the choice to be considerably ignored.

What employers ought to and should not do now

Whereas some pundits have already shared opinions that earlier working-time fashions ought to now swiftly get replaced by electronical time recording, we advocate not to attract any hasty conclusions. The detailed causes for the choice are usually not but accessible and, in our opinion, it’s not but foreseeable with certainty from the press launch alone what sort of motion, if any, employers ought to take now. In any case, the federal government and legislature can hardly ignore this resolution and should now change corresponding provisions on the recording of working time in an modification to the Working Time Act, that was deliberate anyway.

Thus, we see the next Dos and Don’ts for German Employers:

  • Do examine if and the way working time and time beyond regulation is recorded at your organization within the first place. If the recording of time beyond regulation just isn’t achieved reliably, the introduction of knowledgeable time recording system could also be a good suggestion. Nevertheless, if time beyond regulation recording, e.g., on a trust-based system works nicely, it must be waited in the meanwhile to see whether or not this method might already meet the necessities of the working time recording mannequin established by the Federal Labour Courtroom.
  • Do not use this resolution to cease all trust-based time beyond regulation recording for workers engaged on flexitime or from residence.
  • Do not put trendy working fashions on maintain in the event that they in any other case work nicely.

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