Area of application

Zeiterfassung

Der Europäische Gerichtshof hat im Mai 2019 die Arbeitgeber dazu verpflichtet, die volle Arbeitszeit ihrer Beschäftigten systematisch zu erfassen. Dieses Urteil soll für mehr Arbeitsschutz sorgen und ausufernde Arbeitszeiten eindämmen.

AvERP unterstützt Sie bei der Umsetzung einer systematischen Zeiterfassung. 

Time tracking with AvERP

Systematic time tracking is a standard feature of AvERP. For example, employees at desktop workstations can record their working hours directly on their computers. Mobile applications are available for field staff, enabling them to enter their time via smartphones or tablets.

If hardware systems are required for time tracking (for example, in factory halls), these terminals can easily be linked to your AvERP system. This consolidates all bookings in one central location, increasing transparency for external stakeholders and improving both the ability to provide information and the effectiveness of internal analyses.

Legal basis for time tracking

The relationship between hours worked and the corresponding pay forms the cornerstone of all employment relationships. This fundamental principle is also enshrined in labor law.

The law states: “The employer is obligated to record the working hours of employees that exceed the daily working hours stipulated in Section 3, Sentence 1, and to maintain a list of employees who have consented to an extension of working hours in accordance with Section 7, Paragraph 7. These records must be kept for at least two years.” (cf. arbeitrechte.de)

The importance of systematic time tracking for companies

Specifically, this means that recording working hours will become mandatory. Even though the ECJ ruling has not yet been transposed into national law, many industries and sectors already had a requirement to record working hours.

The construction industry has long been required to keep precise records of its employees’ daily working hours. Restaurants, passenger transport companies, logistics firms, and cleaning companies are also subject to these regulations. It is stipulated that the documented working hours must be kept for a period of at least two years. It is also important to note that the records must be made no later than seven days after the work was performed.

The licence-free ERP system for small and medium-sized enterprises.

How small businesses can implement the EU regulation most effectively

Regardless of how individual countries ultimately implement the new ruling by the European Court of Justice, it is clear that various time tracking methods already exist. These include, for example, paper forms, Excel spreadsheets, web applications, hardware terminals, and mobile applications. The choice of the most suitable option generally depends on the individual needs of a company.

For very small businesses, a free Excel template might be attractive, while companies with a strong focus on field staff might prefer mobile time tracking systems. Therefore, it’s advisable to clarify the specific requirements before making a decision.

Advantages of AvERP for time tracking

Time tracking using AvERP offers diverse possibilities to optimize your personnel management through the integration of various organizational units.

AvERP’s built-in time tracking function enables precise recording and tracking of working hours and breaks. Employees can conveniently enter their time via computer or a mobile app. This feature is particularly important for field staff.

AvERP offers a simple and straightforward way to track employee working hours, especially for companies that bill their clients for their time. Clients can use it to see in detail which specialists have invested how many hours in a project and at what hourly rates.

This means that working time documentation functions regardless of time and location. Seamless logging of all times is ensured through the synchronization of all devices. The live status provides a clear overview of all current working hours.

Generally, overtime and weekend work compensation is contractually agreed upon when an employee starts their career. To simplify the allocation of working hours, separate time accounts are often used. An ERP system can automatically distribute entries to the appropriate accounts. By default, the first 40 hours of the week are recorded in the main account. Each additional entry in the same week is automatically transferred to an overtime account without requiring any further action from the user. The payroll department has access to all data to ensure accurate salary calculations.

Generally speaking, time and attendance tracking provides an excellent data basis for internal analyses and process optimization measures. These systems allow you to pinpoint exactly when an above-average number of overtime hours occur and whether this is a temporary phenomenon or a structural problem.

At the same time, trend analyses enable forecasts of future personnel capacity utilization, which significantly simplifies personnel planning. Furthermore, using ERP software allows you to evaluate which work steps are unexpectedly time-consuming and where there is still potential for optimization.

The recording and processing of working hours, as well as payroll accounting, is made possible with a single click through the use of an ERP system. The system provides a quick overview of recorded working hours, overtime, and time off in lieu. Time sheets can be generated automatically based on predefined working time models. Manual entries of sick days, vacation days, and other absences are automatically incorporated into the payroll.

The automated transfer of data from time tracking to payroll leads to significant time and cost savings for your company. Therefore, the obligation to record working hours can also be helpful for managing your business! Especially for companies that bill their employees’ working hours to clients, digital time tracking in ERP software offers a simple and straightforward solution. Clients can see in detail which specialists have invested how many hours in a project and at what hourly rates.

Using ERP software offers comprehensive support in complying with all legal requirements in the area of ​​time management. Furthermore, it enables the visualization and management of various working time models for maximum flexibility. Individual surcharges can be defined and stored in advance, which is crucial for accurate and rapid payroll processing.

The ERP system clearly displays planned and actual hours worked for each employee. It also records all absences, overtime, and vacation days. This way, everyone involved can immediately see how many hours have already been worked and how many vacation days remain.

As a general rule, working hours are considered personal data and therefore require special protection. It is therefore crucial to ensure that time and attendance systems cannot be used by unauthorized individuals. Furthermore, as an employer, you must take measures to prevent the reading, copying, or deletion of data during transmission. The traceability of data changes and protection against data loss are also essential aspects.

To ensure audit-proof data handling, it is necessary to process time and attendance data separately from other data. This means that this data must not be combined with other information or used for other purposes.

An ERP system enables the implementation of security measures that strengthen protection against unauthorized access, data manipulation, and data loss. The integrated functions of the ERP system facilitate audit-proof data handling, allowing companies to effectively implement GDPR guidelines.

Conclusion: Time tracking with ERP software is the ideal solution for your small business

Integrating time tracking into the company’s ERP software significantly streamlines payroll and time management processes. Digitally recorded working hours can then be analyzed and processed with just one click.

Overall, therefore, recording working hours is less of a burden for you as an employer and more of an opportunity to further optimize your own processes.

The use of ERP software significantly simplifies compliance with legal regulations. The system supports the implementation of the General Data Protection Regulation (GDPR) as well as adherence to labor law requirements. With ERP time tracking, employers are always on legally secure ground and can operate without hesitation. This creates security in operational processes and in the organization of personnel deployment.

If you would like to use the new regulation as an opportunity to introduce an ERP system, our ERP experts are ready to assist you in finding and implementing a suitable system for your company.

With our comprehensive expertise, we can ensure that your business benefits from more efficient processes, better data management, and optimized resource utilization.

AvERP. Tailor-made, yet standard.

The licence-free ERP system for small and medium-sized enterprises.