Is a time clock required in the workplace?

Published on
November 27, 2023
Is a time clock required in the workplace?

Every employer is legally responsible for tracking employee working hours. While companies can choose from various methods, time clocks remain one of the most reliable solutions. But is installing a time clock mandatory? Let’s review the legal requirements and the advantages of using a time clock combined with workforce management software.

The legal requirement to track working hours

Regardless of company size, employers must record and track the actual working hours of their employees. This is a legal obligation, not a choice.

Why track employee working hours?

Employers need to ensure that employees work the contractually agreed number of hours and respect legal limits. Accurate time tracking also helps:

  • Verify compliance with legal and contractual obligations.
  • Calculate rest periods, overtime, and additional hours.
  • Ensure accurate payroll based on actual hours worked.
  • Prepare for labor inspections and potential disputes.

Who needs to have their hours tracked?

All employees are covered by this requirement, regardless of:

  • Employment contract type (CDI, CDD, temporary).
  • Work schedule (full-time, part-time, flexible hours).
  • Role (including managers unless under specific agreements).

Only two sectors are exempt from this requirement:

  • Agriculture.
  • Road transport, which follows its own tracking regulations.

Time tracking options for employers

Employers have several options to document working hours:

  • Paper timesheets.
  • Spreadsheets (Excel or similar).
  • Time clocks (badge-based).
  • Biometric devices (under strict conditions).

Some older methods, like paper timesheets, are rarely used today due to the risk of error and lack of reliability.
Biometric solutions, such as fingerprint scanners, are highly regulated. In France, the CNIL prohibits their use solely for tracking working hours, as it is considered disproportionate to the objective.

Is a time clock mandatory by law?

Although employers are required to track working hours, no specific method is legally imposed. This means time clocks are not mandatory, but they are often the preferred solution for their reliability and ease of use.

However, this flexibility could change in the future.
On May 14, 2019, the European Court of Justice ruled that only a reliable time tracking system could fully guarantee employees’ rights to proper working hours and rest periods. This decision could eventually lead to changes in French labor law, making time clocks (or similar automated systems) mandatory in the future.

Why many companies choose time clocks anyway

Even if time clocks aren’t legally required, many businesses use them because they offer significant benefits, especially when combined with scheduling software:

  • Accurate, automatic data collection, reducing human error.
  • Simplified payroll processing with direct data transfer.
  • Precise overtime and rest period calculations.
  • Legally sound proof of hours worked, reducing disputes.
  • Clear, consistent records for labor inspections.

Compliance rules when installing a time clock

If an employer chooses to install a time clock, they must respect four key rules:

  1. The system must be reliable and tamper-proof.
  2. The preferred method is badge-based tracking (biometrics are restricted to certain high-security settings).
  3. Data must be accessible to labor inspectors.
  4. Employees must be able to review their own time records (monthly summaries are often signed by both parties).

Employer obligations before installation

Installing a time clock comes with legal obligations:

  • Consult with employee representatives (CSE, works council).
  • Explain the purpose and reasons for installing the system.
  • Notify all employees in advance, explaining:
    • The legal framework.
    • Data retention periods.
    • Employee rights.

Protecting employee data

The time clock system must be fully GDPR-compliant. This means:

  • Data must be securely stored.
  • Access must be restricted to authorized personnel.
  • Employees must have the right to access and correct their data if needed.

Employee rights when using a time clock

Employees cannot refuse to clock in/out if the system complies with labor laws and data protection regulations. However, they can:

  • Challenge systems that violate their rights (e.g., illegal biometric tracking).
  • Request corrections if errors occur.
  • File complaints if they feel their privacy is violated.

If an employee forgets to clock in, wages cannot be automatically deducted. However, the employer can request that the employee corrects the record. In the event of a dispute, the case could be referred to the labor court, where the burden of proof rests with the employer.