EU time tracking ruling: what it means for employees and employers

EU FlagThe Court of Justice of the European Union (ECJ) ruled last month that the member countries must establish detailed methods of tracking the hourly work of employees, so that they can be properly compensated for time worked.

The ruling stems from a lawsuit by the Federación de Servicios de Comisiones Obreras (CCOO), a Spanish trade union, against the Spanish subsidiary of Deutsche Bank. The main issues in question related to calculating overtime hours – 54% of which goes unrecorded in Spain – and protecting obligatory rest.  “Member States must require employers to set up an objective, reliable and accessible system enabling the duration of time worked each day by each worker to be measured,” the court said in its ruling.

The ECJ ruling is explicitly intended to protect the worker against potential workplace abuses. It is an effort to enforce the European Working Time Directive, which restricts employers from making employees work more than 48 hours a week, and grants people at least 11 consecutive hours of rest every day.

What the ECJ ruling means

The ECJ ruling extends to all companies operating in the EU. The ruling does not specify any guidelines for how employers should record work hours for their employees. In most cases, companies will need a clock-in/clock-out system that would allow them to monitor when employees start and end work, and when people have breaks. Employers will need to know employees’ exact work hours.

At first sight, this may seem cumbersome and backward. But given the technology available today, this could actually be a good idea, for both employers and employees. The “punch clock” has evolved, and businesses and employees don’t have to sacrifice contemporary technical flexibility for exact timekeeping. Modern time and attendance tracking software, often on the cloud, work on mobile phones. Clocking in and out is a matter of a tap on your smartphone screen or on a web page. So even if you are checking emails at home or taking a call from your boss, tracking that time isn’t really an inconvenience. Many of the software systems are priced such that small businesses can afford them. And most provide great analytical tools.

For employees

From an employee standpoint, there’s definitely a lot to be excited about.

Mobile and web time tracking
Mobile and web time tracking

Accurate time tracking provides irrefutable, objective proof against unlawful overtime. Time tracking thus becomes a tool towards building fairer, more accountable workplaces that help protect employee safety and health.

Moving beyond just clocking in and out, good time tracking can detail the time that employees spend on different tasks, when they take breaks and how long they last. It can help document off-site and off-hours work, as well as work-related travel, all of which are frequently overlooked. Basically, it gives employees full visibility into their work schedules – allowing them to address unhealthy workloads and the associated stress, anxiety and exhaustion that come with it.

For employers

Analyze employee time
Time Tracking reports

Companies can use time tracking to track employee working hours. It makes payroll much more accurate. Billing customers for work done is now much clearer and transparent and all hours worked can now be billed. The time tracking data collected is a great source of information on project budgets, project status, progress of works, employee productivity and many other aspects that are crucial for business success. For managers, it may make sense to combine data on the quantity and task breakdown of hours worked by employees with productivity information. It may turn out, for example, that a company would be better off with more workers keeping shorter hours than with an overworked team that’s less effective because of stress and exhaustion.

Conclusion

Time tracking doesn’t have to be tedious and cumbersome. With the right approach, you can make it an integral part of your business. Most makers of time tracking software tell customers that it’s vital to make it’s use mandatory to get people into the habit of tracking time, and that the data must be checked regularly to weed out abuses and negligence. If EU companies take the ECJ’s ruling seriously and apply it properly, it could do a world of good to their employees and their economies.

 

5 great reasons for tracking volunteer time

Last week, I was talking to the Executive Director of a small nonprofit. She said they had only 4 full-time employees, but over an 18 day period just before Christmas, they have over 2,500 volunteers who make their annual program possible.

The value of a volunteer’s time donated to a nonprofit is enormous. But tracking those hours is a challenge for most nonprofits – how many hours volunteers contributed and the impact of those hours (what was accomplished? what difference was made?). With volunteer time outweighing that of paid employees for most nonprofits, volunteer hours are exceptionally valuable.

So let’s take a quick look at 5 great reasons why tracking your volunteers’ time and including it in your budget and financials makes sense.

1. Money, money, money.

Funding for nonprofits
Funding for nonprofits

One of the biggest issues for most nonprofits is funding. It’s key to keeping your nonprofit afloat. Tracking volunteer hours can help your organization prove more qualified for a grant.

When reporting your organization’s impact to a grant provider, including volunteer hours, makes a huge difference. Independent Sector recently released the value of volunteer time of $ 25.43 per hour. If your nonprofit records just 8 hours of volunteer time per day, that works out to over $ 52,800 a year, calculated for just for 5 days a week.

The power of your nonprofit stems from the fact that so many individuals come together to work for your mission – something that is bigger than any single individual. When tracking and sharing your volunteers’ time and impact, grantors clearly see that you have a team of people that believe in your mission and that you are making a positive contribution to your community.

2. Keep ’em coming.

Retain volunteers
Retain volunteers

Volunteers appreciate recognition. Remember that we always count what we value. So tracking volunteer time, clearly shows your volunteers that you value the time that they are putting into your nonprofit. Sometimes, volunteers don’t see the connection between their donated time and your mission. This is the primary reason why volunteers don’t build long-term relationships with nonprofits. By crediting the volunteers’ time and recognizing them when they hit certain milestones, you automatically build a system of transparency and trust. And this can be key for volunteer retention.

3. Build an A-1 reputation.

Build a great reputation
Build a great reputation

Use your volunteer hours to attract new volunteers and donors. Use your tracked hours to build a great volunteer narrative. Let’s say, 300 volunteers put in, on an average 10 hours each over the year. That gives you a total value of 300*10*25.43 or $ 76,290 of volunteer work. Use that number not just to thank your volunteers, but put that in front of your donors and your grantors. When they see the impact of your volunteers’ time, they are more likely to want to be a part of your nonprofit. And the fact that you actually have concrete data, makes your organization seem more legitimate to prospective donors and grantors.

4. Get your ducks in a row.

Analyze your data
Analyze your data

Once you start tracking your volunteer time and where it is being spent, you can start improving your volunteer programs and ultimately strengthen your organization. Make sure that you ask your volunteers to track what they are working on, in addition to tracking the actual time spent. Once you collect this data, you can put it to good use to adjust your programs.

Let’s say, you notice that the total number of volunteer hours has increased, but you are actually getting fewer school backpacks packed. You look at your volunteer data in detail, and you see that 60% of your volunteer time is going towards marketing and administrative tasks and only 40% towards packing the backpacks.

Now if your short-term goal is to grow your nonprofit through marketing efforts, then this may be fine. On the other hand, if you want to get more backpacks out to school kids, then you can easily adjust your volunteer programs to need more volunteers on the backpack packing job. There’s countless ways you can improve and strengthen your programs once you have the volunteer data to back it up.

Tracking volunteer time will help you align your organization goals and your volunteers’ efforts.

5. No taxes, yeaaaah!

As a nonprofit, you don’t have to pay taxes. That’s great, but you still can’t escape

Nonprofit taxes
Nonprofit taxes

the paper-work. Use the Form 990 to your advantage. Since this form must be made public and the data is available on sites like Guidestar, donors and grantors use it to evaluate organization (s) that they want to engage with. Displaying accurate volunteer hours, is not just the right thing to do, it can also help with your funding efforts.

Never assume that your volunteer hours won’t look impressive, the fact that people in your community believe in you, to put in their own time is a huge testament to your nonprofit. Being transparent with your volunteer time gives your a great image with the public, with funders and with the government.

With Salesforce’s Nonprofit Success Pack and Volunteers for Salesforce, managing donors and volunteers is now easy. And with V4S Mobile, you can now track volunteer hours very easily on mobile devices. Reach out to us at info@dftly.com, for more information on volunteer tracking. We’ll be happy to help.

5 reasons to go green with mobile time tracking

Eliminating paper time sheets, physical time reports to your payroll agency / department, physical paychecks and paper pay stubs are huge steps towards a green organization. In fact, most studies reveal that employees prefer receiving their checks and payroll stubs electronically.

Done right, implementing an end-to-end green path from time tracking to payroll deposits is a win-win for everyone. Let’s start with just the time tracking side of the process.

The endless paper trail

The endless paper trail
The endless paper trail

Have you looked closely around your office lately? How much of that paper lying around is for paper time sheets and paper Paid Time Off (PTO) requests? Chances are that it’s quite a lot. And have you ever looked through some of those time cards and thought that it looked worse than your doctor’s squiggles? And have you had your payroll supervisor complain on payroll day that they don’t have all the paper time sheets back from employees? You could suggest using hours from memory, but you could end up over or under paying employees, which isn’t good for anyone. So what do you do?

Sustainable time tracking

If you are stuck in that frustrating cycle, then making the move to a mobile / web based time tracking system can eliminate many of those frustrations. Think about how much you spend on buying paper every year. And how much more on filing, finding and searching for relevant documents. This is where a huge amount of time, energy and paper (and therefore money) is wasted, while increasing the amount of garbage that your company generates.

Mobile and web time tracking
Mobile and web time tracking

A simple mobile time tracking system helps reduce the headaches and wasted effort involved with paper time sheets. Here are some terrific benefits that you get with a mobile / web time tracking system:

  • Save employees and businesses time and effort with 100% accurate online time sheets
  • Decrease payroll errors with always available timesheet data
  • Eliminate time and effort in the PTO request and approval process
  • Reduce cost of paper supplies and waste generated
  • Eliminate rounding errors, buddy punching and illegible time cards.

Increase payroll and invoicing efficiency

Most certainly, you have a payroll budget. So how can you reduce the errors that

Analyze employee time
Time Tracking reports

inevitably creep in? How can you make the process as smooth as possible. Accurate time and PTO tracking is a major factor in eliminating payroll errors. You want to make sure that your employees are paid accurately for the time that they’ve worked, But you also want to make sure that you are not paying for time that was not worked. A mobile time tracking system ensures that all employee time is tracked accurately at the time that it was done and that all time tracking data is automatically synchronized in the cloud. So your payroll team and managers have access to the data immediately, right within your office, regardless of where your employees may be working.

With all data in a single centralized repository, you can easily export simple time tracking reports to your payroll system, ensuring that there is no dropped data or errors in data entry. And you can make sure that every minute is accounted for and billed, because you have all the time tracking data for your employees in the same repository.

And all this with no paper anywhere. From your employees mobile phone / webpage to your central repository to your invoicing and payroll systems. All electronically! And because it’s all in the cloud, you are not increasing the carbon footprint within your premises.

Going green makes perfect sense!

Image by iblushay from Pixabay
Go green now!

Sometimes making sustainable changes in your company is difficult. But signing up for a mobile and web time tracking solution on the cloud is easy and effective. The Mobile Time tracker is designed to make life easier for small and medium businesses while accurately tracking employee hours, wherever they may be working. And helping the environment at the same time.

Save time, save money and save the earth! Now that’s an easy decision, isn’t it?