As an employer in the UK, understanding working time regulations and effectively recording time worked are vital in remaining compliant with employment laws whilst protecting the health and safety of your workforce. The rules around working hours, breaks, rest, annual leave, and the recording of hours worked are designed to maintain a fair work-life balance, reduce the risk of employee burnout, and promote a productive working environment.

Here, we outline the key points, laws, and best practices for employers in the UK regarding working time regulations and time recording. Whilst we can offer an introduction, it’s important to research the laws and regulations for your country, industry and business type.

What Are Working Time Regulations?

Working time regulations govern the maximum hours employees can work, their right to breaks and rest periods, and the amount of paid leave they are entitled to. These regulations are set out in the Working Time Regulations 1998 (WTR), which implement the European Union Working Time Directive into UK law (post-Brexit, the UK has retained most of these laws).

The aim is to protect the health and safety of workers by preventing excessive working hours and ensuring workers have sufficient rest periods, holidays, and breaks during their working time.

Core elements of the Working Time Regulations 1998:

Maximum Weekly Working Hours

Under the WTR, employees cannot be required to work more than 48 hours per week on average. This is calculated over a 17 week reference period.

Opt-Out Agreement: Employees can voluntarily agree to work more than 48 hours per week, but only if they sign an opt-out agreement. They can revoke the opt-out at any time, with reasonable notice (usually 7 days). However, employees cannot be forced to sign this opt-out, and it must be done freely and without coercion.

Rest Breaks and Rest Periods

Employees are entitled to adequate rest to protect their health and safety. The regulations specify:

Daily Rest: Employees must have at least 11 consecutive hours of rest between shifts (day or night).
Weekly Rest: Employees are entitled to a minimum of 24 hours of rest per week or 48 hours over a two-week period.
Breaks During Work: If employees work more than 6 hours in a day, they are entitled to a 20 minute rest break. This break must be taken during the working day and cannot be at the beginning or end of the shift.

Paid Annual Leave

Under the WTR, employees are entitled to 28 days of paid annual leave (this includes 8 public holidays).

For employees working part-time or irregular hours, leave entitlement is calculated on a pro-rata basis. There are tools for calculating this prorated allowance online such as Gov.uk.
Employers can decide whether to include public holidays in the 28 days or give them separately, but they must provide at least 28 days worth of paid leave.

Night Work

Employees who work night shifts (usually between 11 pm and 6 am) are subject to additional protections:

Maximum Hours: Night workers cannot work more than 8 hours in a 24-hour period on average over a 17-week period.
Health Assessment: Employers must provide a free health assessment before employing someone in night work, and periodically thereafter, to ensure their safety and wellbeing.

Young Workers (Under 18)

Special protections apply to young workers:

They cannot work more than 8 hours per day or 40 hours per week.
They must have 12 hours of rest between shifts and 48 hours of rest weekly.

Recording Time Worked

Employers are obligated to keep records of employees' working hours to ensure compliance with the working time regulations. Although the specific requirement to keep records is not stated in the WTR, it is implied under various sections of employment law. Accurate records are essential for the following reasons:

Monitoring Compliance: Employers need to monitor that employees are not exceeding the maximum weekly working hours, are receiving proper breaks, and are taking their entitled rest periods.
Dispute Resolution: If a dispute arises over working hours, breaks, leave, accurate records can serve as evidence in resolving the issue.

Legal Requirements for Time Recording

There are no detailed regulations that specify exactly how employers must record working hours, but best practices include:

Documenting Start and Finish Times: Employers should record the time employees start and finish work each day, as well as the hours worked. This can be done through manual time sheets, clocking in and out apps, or punch clock equipment.
Breaks: Employers should also track whether breaks are taken and their duration, particularly for employees working over 6 hours per day.
Overtime: Time worked beyond normal hours, particularly where the 48 hour opt-out is in effect, should also be accurately recorded.

Methods of Recording Time

Employers can use several methods to record time worked, depending on the size of the business and the complexity of their operations:

Manual Time Sheets: Employees manually record their individual working hours, typically at the start and end of the shift.
Digital Time Clocks or Biometric Systems: Employees use digital systems to clock in and out, which are often more accurate and efficient, whilst storing all records in one place - making it easier for the employer to view.
HR or Payroll Software: Many employers use HR software that automatically tracks working hours, breaks, and overtime. This is particularly useful for businesses with flexible hours or remote working arrangements.

Employers should ensure that the system used is secure and accurate to avoid any issues with underreporting or miscalculations.

Best Practices for Employers Regarding Working Time and Time Recording

To maintain compliance with working time laws and ensure a fair work environment, here are some best practices for employers:

Regularly Review Working Hours

Employers should regularly review working hours, rest periods, and breaks to ensure they are complying with legal limits. This is especially important for businesses with employees working overtime, night shifts, or flexible hours.

Implement a Clear Time Recording System

Adopt a clear and efficient system to track time worked. This should include:

Clear guidelines on how to record hours.
Regular checks to ensure employees are accurately clocking in and out.
Systems for tracking overtime, rest periods, and break times.

Communicate the Importance of Breaks

Make sure employees understand the importance of taking regular breaks, both for health reasons and to comply with regulations. Encourage employees to take breaks, and ensure they are not skipping them in order to meet deadlines.

Provide Regular Training

Train managers and HR staff on working time regulations and time recording processes to ensure consistent enforcement across the business.

Monitor Compliance

Create a process for monitoring working time records, including regular audits of working hours, especially for employees working beyond normal hours or during the night. This helps avoid any potential breaches and ensures employees are getting their full entitlement to rest and breaks.

Penalties for Non-Compliance

Failure to comply with working time regulations can result in significant penalties, including:

Compensation: If an employee is found to have been denied rest breaks or working more than the legal limits, they may be entitled to compensation.
Tribunal Claims: Employees can take legal action through an employment tribunal if their rights under the Working Time Regulations are violated.
Fines and Enforcement: Employers may face fines or legal action if found to be in breach of the regulations, particularly for failing to keep accurate records or enforcing working hour limits.

Conclusion

Working time regulations are an important aspect of employment law in the UK. Implementing a clear and accurate time recording system is key to ensuring compliance with these regulations. By adopting best practices, monitoring working hours, and keeping detailed records, you can avoid potential legal issues and foster a healthier, more productive work environment for your team.