As an employer or self-employed person in Switzerland, sooner or later you will face the question: do I really have to record the working hours of my employees - and if so, how precisely? The short answer: yes, in principle. But Swiss employment law offers more flexibility than many people think.
In this article, you will learn what the Swiss Employment Act (ArG) specifically prescribes, who can claim exemptions, and how to implement the time tracking obligation pragmatically and in a legally compliant manner.
Legal Basis
The obligation to record working hours arises from several legislative sources:
Swiss Employment Act (ArG) - Art. 46
Art. 46 ArG obliges employers to keep records of the hours actually worked, including overtime, and to make these available to the competent authority upon request. The records must be retained for at least 5 years.
Swiss Code of Obligations (CO) - Payroll Accounting
The Swiss Code of Obligations (CO) (Art. 321c) governs overtime compensation. Without time tracking, overtime entitlements can neither be calculated nor proven - which works against the employer in the event of a dispute.
The Swiss Employment Act (ArG) applies to all employees in industrial and commercial establishments as well as in the services sector. Not subject to the ArG are, amongst others, public households, agricultural enterprises, and certain religious institutions - special regulations apply to these.
Who Must Record Working Hours?
In principle, the time tracking obligation applies to all employees subject to the Swiss Employment Act (ArG). These include:
- Full-time and part-time employees
- Employees working from home
- Temporary employees
- Apprentices (trainees)
- On-call employees (with heightened requirements, see Art. 19 ArGV 1)
Exemptions: Who Is Exempt?
The law provides for clear exemptions:
Senior Employees (Art. 3 lit. d ArG)
Persons in a "senior position" or engaged in "higher trusted activities" may be exempt from the Swiss Employment Act (ArG). For these persons, neither the working time regulations nor the time tracking obligation applies. Criteria for a "senior position":
- Significant decision-making authority (personnel decisions, budget responsibility)
- No direct supervision by a line manager in day-to-day business
- Typically: members of senior management, heads of division, C-level executives
The term "senior position" is interpreted narrowly by the cantonal labour inspectorates. A team leader with 5 employees is typically not considered a "senior employee" within the meaning of Art. 3 ArG. If in doubt, seek clarification or obtain legal advice.
Self-Employed Persons
Anyone who is genuinely self-employed - i.e. not an employee within the meaning of the Swiss Employment Act (ArG) - has no time tracking obligation towards a client. However, for one's own hourly rate calculation and invoicing, maintaining personal time records is commercially sensible.
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Simplified Time Tracking via CLA
Since 2016, an important exemption option has existed through collective labour agreements (CLA):
Simplified Time Tracking - Art. 73a ArGV 1
If a generally binding or company-level CLA provides for it, employees with an annual salary of at least CHF 120'000 may dispense with full time tracking. Instead, a simple record of days worked (without precise hours) is sufficient. Requirement: the employee must agree in writing and must be able to arrange their work flexibly.
Full Waiver of Time Tracking - Art. 73b ArGV 1
Where there is even greater autonomy (fully free arrangement of working hours), time tracking may be waived entirely by CLA. This option is rare and requires particularly structured CLA provisions and the written consent of the employee.
What Exactly Must Be Recorded?
The statutory minimum requirements include:
| Required Entry | Details | Basis |
|---|---|---|
| Start/End of Working Time | Actual hours worked (not target hours) | Art. 46 ArG |
| Breaks | From 30 min. when working more than 5.5 hours | Art. 15 ArG |
| Overtime | All hours beyond those contractually agreed | Art. 321c CO |
| Night and Sunday Work | Where subject to authorisation or supplement requirements | Art. 17/17a ArG |
| Holidays and Absences | Holiday days, sick days, public holidays | Best Practice / CLA |
Maximum Permissible Working Hours
The Swiss Employment Act (ArG) also sets clear limits:
- Maximum weekly working hours: 45 hours (industrial, office, retail) or 50 hours (other establishments)
- Maximum daily working hours: Max. 14 hours (including overtime)
- Rest period: At least 11 hours between two working days
- Overtime: Maximum 2 hours of overtime per day (except in urgent cases)
Retention Obligation: 5 Years
Retention of Working Time Records
All working time documents must be retained for 5 years after their creation and must be made available to the cantonal labour inspectorate upon request. In the event of disputes (overtime claims, wage claims), longer retention is advisable.
How to Implement the Obligation Pragmatically
There are various ways to record working hours in a legally compliant manner:
Option 1: Excel / Google Sheets
The simplest solution for small businesses and freelancers. Important: the spreadsheet must contain start, end, breaks, and overtime, and must be updated regularly (daily or weekly). Employees should confirm the document with a date and signature (or electronically).
Option 2: Dedicated Time Tracking Software
For businesses with 5 or more employees, a software solution is recommended:
- Bexio, Accounto: Swiss accounting software with integrated time tracking
- Clockify, Toggl: Free tools, straightforward, browser-based
- TimeMoto (Safescan): Hardware + software for clocking-in systems
- Personio, Abacus: HR software with comprehensive time tracking
Option 3: Mobile App
For field staff, tradespeople, and teams without a fixed workplace, apps such as TimeTac, ZEP, or Harvest are suitable. GPS time stamping and automatic evaluations are possible.
Have employees maintain their own time records and countersign them mutually each month. This way there are no surprises, the data is accurate, and in the event of a dispute you have a legally robust document.
Consequences of Non-Compliance
Employers who fail to meet the time tracking obligation risk:
- Fines of up to CHF 40'000 (Art. 59 ArG) for violations of working time regulations
- Disadvantage in disputes: Without time tracking, employees generally have a stronger evidential position in overtime claims
- Obligation to make back payments for overtime that the employee can credibly substantiate
- Reputational damage in employer reviews and on the recruitment market
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Conclusion
Working time recording is compulsory in Switzerland - but not as rigid as many fear. The law permits exemptions for senior employees and, with simplified time tracking via CLA, offers a practical solution for companies with highly qualified employees. For most SMEs, the rule is: careful, regularly updated time tracking - whether in Excel or software - is the simplest way to fulfil the obligation in a legally compliant manner.
Invest once in a good system, explain it to your employees, and you will have a legally sound foundation for the years ahead - whilst also gaining a tool for better workforce planning and fair overtime settlement.
Sources
- Swiss Employment Act (ArG): Fedlex - ArG
- ArGV 1 (Time Tracking Art. 73a, 73b): Fedlex - ArGV 1
- SECO - Working Time Regulations: seco.admin.ch
- SME Portal - Working Hours: kmu.admin.ch