Navigating the EU’s new working time directive

From trust and paper to systems and accountability.
Since July 1, 2024, all EU employers have been subject to new rules on time tracking – and it’s not just a formality. For many businesses, it’s the end of “we do what works for us” and the beginning of a new era of documentation, compliance, and control.

But what’s it really about? And do you seriously have to track every working hour?

Spoiler: Yes, according to EU law – and no, it doesn’t have to be a nightmare.

Why were the rules changed?

The new Danish legislation follows a 2019 EU Court ruling (the Deutsche Bank case), which required member states to ensure that employers track working time in a way that is objective and reliable.
The goal? To protect workers’ rights to rest and prevent burnout – not to introduce control for its own sake.

In Denmark, the law was passed in agreement with major labor market stakeholders. It formally came into force in January 2024 and became mandatory on July 1, 2024.

What does it mean in practice?

• You must track working hours. Period.
  That applies to all employees – unless they qualify as exempt (more on that below). You’re free to choose the method – but you’re not free to skip it.
• You can choose your method.
  Apps, punch clocks, spreadsheets, paper – anything goes, as long as the system is objective, reliable, and accessible.
• GDPR is always watching.
  Tracking means handling personal data. That means you’ll need to stay compliant with GDPR – including documenting purpose, access, and retention.

What about the exceptions?

The most debated element is the group of so-called “self-managing” employees. These are people who largely control their own working time – typically senior staff or specialists with a high level of autonomy.

But:

• It has to be clearly stated in the employment contract.
• It must be demonstrable in practice.
• Just working from home or wearing pyjamas doesn’t count.

In short: It’s an individual and documented assessment – not a free pass.

How are businesses handling it?

Some have implemented digital systems. Others are sticking to paper. And many are still figuring things out – or hoping it all blows over.

Here’s what needs to happen:

• Choose a method that fits your size and culture.
• Communicate with your team and update contracts if needed.
• Make sure GDPR is part of the setup from the start.

It doesn’t have to be complex – but it does need to be thought through.

The upside?

Besides the legal side, this shift also opens the door to a few positives:

• More transparency. Time tracking often reveals hidden overtime and uneven workloads.
• More balance. Clear tracking helps everyone protect their working hours.
• More awareness. When time becomes visible, it becomes easier to prioritize – even during busy periods.

One final thought

Time tracking might not sound like a topic for modern, digital businesses. But it is.
Even in a remote Shopify-driven world, the rules still apply.

And if you’re both owner and manager, they apply twice as much.

At TUXEN&Co., I follow changes like these closely. Not because I love red tape – but because clarity and structure make business easier. And that usually starts with the basics.

- Frederik, eCommerce Manager