Compensated overtime is not considered overtime.

According to one of the latest Supreme Court rulings, excess working hours, which have been compensated with breaks such as hours or days off, are not considered overtime and therefore do not need to be registered or accounted for as such.

6/2/2020

And since the Working Hours Registration Law was implemented almost a year ago, there are many doubts that arise regarding its correct application, there are many cases that end up in court because it is unknown what the Law says, as is the case of a collective conflict in the world of banking, in which the entity had compensated for the excess working hours of its staff with free time, and did not feel obliged to provide the work hours registration sheets, as requested by the unions.

This case, like so many others, ended up in court, and the Supreme Court ruling highlights that “there is no legal or conventional rule that requires the daily registration of compensation for excess working hours”.

The judges also seek solutions to conflicts in the Workers' Statute, and in this specific case, article 35.2 includes on the one hand the obligation to record excess working hours, but on the other hand it indicates that "overtime hours that have been compensated by a break within the four months following their completion will not be calculated."

In this context in which there are many doubts about how to correctly carry out the registration of working hours, it is important to have a system, such as timenet, that guarantees correct compliance with the regulations, and that allows recording, in an easy and transparent way, all the working hours of the company's workforce.

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