Employee Time Tracking: Why It Matters and Why You Need to Do It - Sizling People
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Employee Time Tracking: Why It Matters and Why You Need to Do It

Timesheets and employee time tracking may seem like quite the hassle, and it can be if done the wrong way. However, these are extremely important activities for many reasons. You can use time tracking to remain in compliance with labor laws, reduce labor expenses, and increase revenue through more accurate client billing. 

These are just a few of the many reasons why employee time tracking matters and why you should make sure your organization does it.

One of the biggest reasons you should perform team time tracking is to make certain that your employees are paid properly. They should be paid for all their time worked, and employee time tracking software can be used to properly capture all the time they work. This can lead to greater trust in the organization by your employees because they know that they are being paid accurately. 

This also helps keep expenses lower because you are not paying anyone for time that was not worked. In this manner, employee time tracking benefits both the employee and the employer.

When it comes to pay, overtime payments can sometimes create big issues. Incorrect overtime payments can create non-compliance issues which can lead to hefty fines from governmental agencies. Not to mention the mistrust that it may create with your employees when they are not paid the right amount of overtime. Accurately tracking an employee’s time is the first step in making sure that overtime payments are calculated and paid correctly.

Online employee time tracking is not often an activity that most people associate with generating revenue. But that can sometimes be the case in many businesses. If your business bills clients for projects based on the number of hours worked on the project, then accurate time tracking can lead to an increase in revenue for your business. 

No more hours slipping the cracks because someone forgot to record them. Precise time tracking ensures that your clients are billed for the exact amount of time spent on each of their projects. As a bonus, clients love this as well! They can now get detailed bills that show the specific amount of time your employees have worked instead of generic bills that are often just estimated and rounded to the nearest hour. This creates a lot of trust with the client and will keep them coming back to your business again and again.

Accurate employee time tracking can also help in many ways from a workforce management perspective. First, it can help prevent the overworking of your employees. Overworking will lead to burnout very quickly. Your employees may be working too many hours without you even realizing it if you are not tracking their time. Being able to easily see reports of how many hours they have worked will help you determine which employees need off days and which ones should be working shorter shifts. This is a great management tool.

In addition, employee time tracking can also help you identify opportunities for employee coaching. It will allow you to identify trends such as whether some employees are consistently late for work or perhaps take longer than normal breaks. You can use their online timesheet software data to coach them in an effort to improve their behavior. Giving them reminders about the importance of arriving on time can lead to better punctuality and working harder while on the clock.

Given the reasons above, you should absolutely consider implementing an online timecard system if you are not currently doing so. Time tracking creates an open and transparent environment with increased accountability for your employees. Consider setting up a system today!

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