PASFIELD CURRAN / ASK THE EXPERTS

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Here are the latest questions sent to us.

Q. Do we as an employer have to keep records of the hours worked by our employees?

The Working Time Regulations state that employers are required to maintain up-to-date records of all workers who have not signed an opt-out agreement under which they agree that the 48-hour maximum working week is not to apply to them. Employers are required to keep these records, which are adequate to show that they have complied with the provisions on maximum weekly working time, for two years. The Regulations do not specify the format in which such records should be kept.
There are a wide range of options for recording this working time,

manually, by the shift leader, for example, making a note of hours worked on a piece of paper
computerising this process perhaps via a spreadsheet or database
the more technical option of time and attendance systems with or without swiping in/out etc...

Pasfield Curran has experience with all of these options. We have pro forma paper record systems, have written spreadsheet solutions for smaller business (up to around 100 people) and for larger businesses we have now linked up with Crown Computing who can provide the UK’s leading Workforce Management solution offering advanced Time and Attendance, Workforce Scheduling and Activity Management capabilities. For more information please look at www.crowncomputing.co.uk

It is not necessary for employers to maintain records of the hours actually worked by opted-out workers, they may simply record the relevant workers' names, together with copies of the signed opt-out agreements. However for payment and attendance purposes such records should be held in some format in any case.

Q. With a flexible working system that fixes the overall number of hours in a time period, what do we do if demand for work increases?

Ideally any business wants to employ the correct number of people at any time, too few and the work will not get done, too many and overhead costs are too high. If demand for work increases then, it obviously depends on what system of flexible working you have implemented and how long the increased demand is expected to last and whether or not you are able to increase productivity.

If possible temporary workers could be used and whilst providing some flexibility they might not have the right skills or may require extended training periods. Companies also often find that temporary employees lack commitment to the business.

Assuming you flexible working scheme allows you to vary the hours worked then you could bring hours forward to give you time to decide whether or not you need to recruit and train more people. If reserve hours are available then these could be used.

If the uplift in demand is expected to be longer term then ultimately this implies that you either need to employ more people or look at productivity improvements. There are occasions when we have to advise clients not to manage extended uplifts through their flexible working scheme, but to face the reality that they need more people.

Q. What is the reference period over which average weekly hours are calculated in the Road Transport (Working Time) Regulations?

The working time of “mobile workers” (*) is restricted to an average of 48 hours a week over the relevant reference period, and must not exceed 60 hours in any week. No opt-out from the average 48-hour week is permitted. There are several methods that can be used to calculate and monitor compliance with this weekly average. The method chosen must be agreed in advance.

The standard method sets out specific reference periods based on calendar dates. These begin at midnight on the nearest Monday morning on or after 1 April, 1 August and 1 December each year. Alternatively the employer could enter into an agreement to apply different fixed reference periods of up to 26 weeks.
For further information please see the full guidance from the Department for Transport.

* A mobile worker is any worker forming part of the travelling staff (typically drivers and vehicle crew, but also trainees and apprentices) who is in the service of an undertaking which operates road transport services for passengers or the movement of goods. Mobile workers include drivers who work for hire and reward companies or companies with own account operations.

Q I have read that annualised hours is a total concept and has to be introduced into the whole organisation. In your experience is this the case?

It is a myth that annual hours must be introduced for the entire organisation. A good annual hours design is seeking to maximise flexibility and motivation of staff. If that has already been achieved in parts of the organisation then annualised hours may not be appropriate there.

Where annualised hours is appropriate for a department or workgroup it is important to consider the implications on working interfaces. For example, if one department is able receive overtime benefits for taking longer to complete tasks (i.e. incentivised to work slowly) and another department is motivated through annual hours to complete work to the correct quality in the minimum time (i.e. incentivised to work faster) then resultant frictions will occur.

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Dave Calver, Production Manager, Boots