Overplanning in the Shift Schedule: What's Allowed
Overplanning in the Shift Schedule: Many companies experience overtime for various reasons. But what should you do when there’s too much overtime? And is scheduled overtime even allowed? We provide you with the answers.
How Much Overtime Is Allowed?
For a full-time employee with a 40-hour workweek, a maximum of 20 overtime hours is permitted. This is stipulated by the Working Hours Act (§ 3 Abs. 2 ArbZG), which regulates the working hours allowed per day and week.
Key Regulations and Exceptions at a Glance:
- A maximum of 48 hours per week and 10 hours per day is allowed.
- The absolute upper limit is 60 hours per week and 10 hours per day. However, the average working time within six months (or 24 weeks) must not exceed 8 hours per day. Adequate compensatory time off must be provided to balance this out.
- In unforeseen emergencies, employers can require employees to work overtime—for instance, in cases where fires or severe weather threaten the existence of the business.
- Employees in management positions are exempt from the Working Hours Act. This applies to individuals who have the authority to make independent decisions about hiring and firing or who hold general power of attorney (§ 5 Abs. 3 Betriebsverfassungsgesetz).
- Additional exceptions may be outlined in collective agreements.
Is There a Maximum Limit for Overtime on a Time Account?
The maximum amount of overtime that can be accumulated on a time account can only be determined based on the maximum daily working hours. On average, over a six-month period, working hours must not exceed 8 hours per day.
How Much Overtime Can Part-Time Employees Work?
In principle, part-time employees are not supposed to work overtime, as it contradicts the fundamental concept of a part-time position. However, exceptions apply in certain cases:
- In emergencies such as fires or natural disasters, overtime may be required.
- Overtime is also permissible in more likely scenarios if relevant agreements are outlined in collective agreements, employment contracts, or works agreements.
Can Overtime Expire?
What applies to vacation days also applies to overtime: it has an expiration date. The exact timeframe depends on company agreements or stipulations in employment or collective agreements, specifying when overtime expires. This period is referred to as the "exclusion period." However, legally:
- Overtime must remain valid for at least 3 months, meaning the expiration period must be at least 3 months long.
- If no specific timeframe is defined, overtime expires no later than three years after it was accrued. This period begins at the end of the calendar year in which the overtime was worked.
- If an employee falls ill during compensatory time off, the overtime used for this purpose is forfeited.
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Overtime: Compensatory Time Off or Payment?
As a general rule, employers are obligated to pay for overtime. However, there is no legal regulation specifying the percentage rate for overtime compensation. The terms are typically outlined in employment or collective agreements and works agreements. If no such agreements exist, the employer is still required to compensate for overtime.
The more common practice, however, is to offset overtime through compensatory time off, often referred to as "taking time off in lieu." Yet, this practice is not uniformly regulated by law for all positions—it also depends on individual contracts and agreements.
Additionally, the following points apply:
- Overtime cannot be taken off at the employee's discretion; the employer decides when compensatory time off is granted.
- After a termination, whether with notice or immediate, employees are entitled to compensation for their overtime—either through time off or payment.
- Since paid overtime is considered part of regular wages, it is subject to normal taxation. Overtime pay is neither tax-advantaged nor tax-exempt.
Scheduled Overtime in the Duty Roster – How Far in Advance Must It Be Announced?
This scenario is familiar to many employees: the deadline for an important project is approaching, but its completion is still far off. The boss announces in the afternoon that employees will need to work late. Or a colleague calls in sick, and their workload must be handled by others after regular working hours. In both cases, employees are expected to work overtime on the same day.
This practice, however, is unlawful. According to current case law (ruling by the Labor Court of Frankfurt / Oder, Case No.: 7 Ca 3154/04), overtime must be announced at least 4 days in advance.
The courts place greater value on employees' right to plan their personal time over the obligation to work. Of course, exceptions apply here as well: in emergencies that threaten the existence of the business, such as floods or fires, employees are required to perform any necessary overtime. Similarly, managerial employees with corresponding decision-making authority are exempt from this requirement.
Are Constant Overtime Hours Allowed?
Constant overtime can take a toll on your health, leading to issues like burnout and stress. Occupational safety laws clearly state that no one is required to work overtime constantly.
The issue lies in the term "constantly." According to § 3 Abs. 2 of the Working Hours Act (ArbZG), there is a clear limit to the maximum number of overtime hours allowed—but this is calculated as the average working time over a period of 6 months or 24 weeks.
This means an employer can require an employee to work up to 20 overtime hours per week for several weeks—as long as these extra hours are offset within the 6-month period.
Best Practice: How to Avoid Overtime
Even though laws and regulations effectively govern overtime in businesses, it often remains a source of frustration for employees—and frequently a reason for resignations. Avoiding overtime should, therefore, also be in the best interest of employers.
But how can overtime be avoided? In a fast-paced work environment with rigid duty rosters and tight deadlines, large companies often struggle to maintain the necessary flexibility. This is where intelligent shift scheduling software can help: it anticipates peak workloads in advance and provides relevant alerts.
With such solutions, additional staffing needs can be identified early. For instance, voluntary shifts can be offered proactively. Even if overtime cannot be completely avoided, the software ensures employees are informed in a timely and appropriate manner. This significantly increases acceptance of overtime, as employees can plan and prepare for the extra work.
Best Practice: How to Avoid Overtime
Even though laws and regulations effectively govern overtime in businesses, it often remains a source of frustration for employees—and frequently a reason for resignations. Avoiding overtime should, therefore, also be in the best interest of employers.
But how can overtime be avoided? In a fast-paced work environment with rigid duty rosters and tight deadlines, large companies often struggle to maintain the necessary flexibility. This is where intelligent shift scheduling software can help: it anticipates peak workloads in advance and provides relevant alerts.
With such solutions, additional staffing needs can be identified early. For instance, voluntary shifts can be offered proactively. Even if overtime cannot be completely avoided, the software ensures employees are informed in a timely and appropriate manner. This significantly increases acceptance of overtime, as employees can plan and prepare for the extra work.
Create Legally Compliant Duty Rosters with shyftplan
Are you looking for a legally compliant and straightforward solution for creating complex duty rosters? In a personalized consultation, discover through a software demo how shyftplan can help you implement efficient, demand-driven, and employee-oriented scheduling.
Since personal data is required for a work schedule, data protection naturally applies here as well. A shift schedule should not simply be posted for everyone to see, and it should certainly not be photographed and shared, for example, via messenger—something that often happens in smaller businesses. However, in larger businesses, there can also be problematic interactions between work schedules and data protection. For example, if there is an Excel document that all employees can access and thus view the personal data of others, data protection is violated. Therefore, a shift schedule is a document containing confidential personal data and should be treated as such.
• Never post shift schedules publicly • Do not send photos of shift schedules to your employees • Limit employee access to shift schedule files, such as through an intranet • Ensure that each employee can only view their own data A scheduling software can assist in creating a data protection-compliant shift schedule. This is particularly beneficial for larger companies, as smart solutions consider laws and legal requirements when creating shift schedules, helping them stay on the safe side.
All new shyftplan customers receive training for their planners, which is included in the price. We also offer regular customer webinars where new features are introduced and explained. Additionally, you can access relevant information on setting up and using shyftplan anytime through our knowledge base.
