Preparation for time registration of all employees from July 1, 2024

Preparation for time registration of all employees from July 1, 2024

The Danish Working Time Act has undergone significant changes in response to an EU ruling from May 2019. This ruling requires European companies to accurately record the working hours of all employees.

The first steps towards a balanced work environment

The Danish Working Time Act has undergone significant changes in response to an EU ruling from May 2019. This ruling requires European companies to accurately record the working hours of all employees. Behind this change is an objective to promote fairer and more transparent working practices and to ensure workers’ rights, with a focus on rest and working hours. These measures are designed to create a more balanced working environment and strengthen the protection of workers’ welfare and labour rights.

What do the new requirements entail?

From 1 July 2024, all Danish employers must have a reliable and accessible time recording system in place. This system must be able to record and document the working hours of all employees. Companies must ensure that the time recording is accurate and comprehensive, as it will be used to ensure compliance with legal requirements regarding maximum working hours, rest periods and breaks. It is also expected that time recording will help minimize the risk of disputes between employers and employees by creating clear documented records of working hours.

According to the new requirements, employees are entitled to at least 11 consecutive hours of rest within a 24-hour period and one weekly rest day. A limit of 48 hours of work per week has also been set.

What are the storage and availability requirements?

Companies are expected to implement secure and easily accessible systems for storing time records so that employees can easily access their own information. This not only contributes to legal compliance, but also creates transparency and trust in the working environment. These records must be kept for at least five years, as required by the Data Protection Act. This not only ensures that companies comply with the law, but also allows for tracking and analysis of developments in working hours over time, which can be valuable for both the company and its employees.

Are
all employees covered?

While the new time recording requirements apply to all employees, there are certain exceptions to consider. These exceptions typically include directors, managers, and employees whose work hours are difficult to predict due to the nature of the work. It is crucial to understand that these exceptions must be well-founded and in accordance with applicable law to avoid misunderstandings or disputes. It is important for companies to handle exceptions carefully and transparently to ensure fair and lawful work practices for all employees.

Changes
to the employment contract:

It is essential that the employment contract or an addendum to the contract contains a clear and precise definition of the employee’s role as a “self-organizer” and therefore exempt from the time recording rules and the provisions of the Working Time Act regarding breaks, maximum weekly working hours and night work. Without such a definition, the employee is automatically subject to the general rules like other employees. In order to avoid any legal or operational discrepancies in the future, it is essential to ensure that this definition is clear and precise in the contract or the addendum to the contract.

Sanctions:

If the maximum weekly working hours of 48 hours are not observed, employees may be entitled to individual compensation. If the rest period rules in the Working Hours Act are not observed, the Labour Inspectorate may impose fines on employers and issue injunctions. With the new rules on recording daily working hours, it can be expected that the burden of proof for violations of maximum weekly working hours, breaks and rest period rules will be lighter for employees, trade unions, the Labour Inspectorate and other authorities. If employers do not record daily working hours in accordance with the rules, this can have serious consequences according to the draft law, which is expected to have a significant impact on employers.

Employer – You must be ready!

Based on the above, employers face a major task if they have not already started implementing the new requirements. We at Summ are ready to assist you through the complexity these changes may have for your business.

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Contact us today and discover how Summ can revolutionize your accounting management. Let us find the perfect solutions for your business, or just have a chat with us. We are here to help you take your business to the next level.
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