Timebank, avspasering – what are the rules?

In Norway, we have the opportunity to take advantage of avspasering, i.e. free time in exchange for overtime. This often causes disputes with the employer and uncertainty, although it should not, because both legal regulations and internal contracts in companies determine how and when you can work beyond standard working hours and what rights and obligations arise from such hours. We will explain what the rules are for overtime, how timebank works and what avspasering looks like?

TIMEBANK AND AVSPASERING – WHAT DO THEY MEAN?

Piggy bank with an hourglass. Let's start by explaining the most important issues:

Timebank – a bank where you collect hours worked beyond the standard, contractual working time.

Avspasering – postponing these hours for later in the form of days off. It is a voluntary agreement between the employee and the employer (sometimes, however, imposed from above).

For example: if you normally work 4 hours a day, one day you work 4 hours more - so you have 4 hours in your bank of hours. You are not entitled to remuneration for this time. However, you have the right to take them back after some time in the form of paid days off (in addition to standard paid leave). In total, they will be 100% payable, only with a delay.

Another example includes overtime avspasering. Let's say you work full-time 40 hours/week and in one week you earned 8 hours in your timebank. Working more than 40 hours obliges the employer to pay an overtime allowance (at least 40%), and you also have the right to a 100% paid day off. Ultimately, these additional hours will be paid 140% - 40% immediately, 100% when taking days off.

WHAT IS CONSIDERED OVERTIME WORK?

A man working at night. We talk about overtime when an employee works beyond the statutory limit of standard working hours - this is what Norwegian regulations say. In practice, overtime is counted when you work:

  • More than 9 hours a day, or
  • More than 40 hours a week.

If you work more than your standard working hours, as agreed in your contract, but still less than 9 hours a day or 40 hours a week, this is considered “merarbeid”, or extra work. Such work does not entitle you to additional overtime pay, but to the standard hourly rate and does not entitle you to avspaseringu.

Overtime starts when you work more than 9 hours a day or more than 40 hours a week. In this case, you are entitled to an overtime allowance of at least 40% of your salary.

However, if you have agreed to "average time" (gjennomsnittsberegning), you can individually agree with your employer that you work a maximum of 24 hours in 10 hours and 7 hours in 48 days. In this case:

  • Weekly working time is a maximum of 50 hours (overtime is counted above this number)
  • Working time averaged over an 8-week period is a maximum of 48 hours/week - therefore, the maximum time during 8 weeks is 48×8 = 384 hours (overtime is counted above this number)
  • During 52 weeks, working time cannot exceed an average of 40 hours per week - therefore the number of hours per year is 40 * 52 = 2080 (overtime is counted above this number)

If the company you work for is covered by trade union arrangements, these limits may be further increased. You can set a maximum of 12,5 hours of work in 24 hours, a maximum of 48 hours in 7 days - averaged over 8 weeks with a maximum of 54 hours in a single week.

Alternatively, the company you work for may have an agreement with the Ministry of Labor and then the maximum working time is up to 13 hours in 24 hours.

HOW MANY OVER HOURS CAN YOU WORK?

The basic limit is 200 hours over 52 weeks. However, if the company is bound by a collective agreement (tariffavtale), it is possible to increase this limit to 300 hours. It all depends on the contracts concluded with the company's shop stewards.

As for free hours in the timebank, there are no statutory regulations for their use and transfer. You should have written arrangements with your employer regarding this matter; in larger companies, it will be included in the work regulations.

TIMEBANK – GENERAL RULES

Relaxed man in a suit. Generally, you can make an agreement with the employer in almost any way, as long as it does not violate the Labor Code. Typically, we talk about "plusstimer" - when we earn overtid or mertid (overtime) to use, and "minustimer" - when we use too much time off in relation to the overtime earned. Rules apply:

  • plusstimer – must be used in a given billing period (usually a year). Only part of it can be postponed to the next period.
  • minustimer – if they occur, they may be deducted from the salary at the end of the settlement period.
  • If the plusstimer is not postponed, it should be paid.
  • Plusstimer pickup is paid time off with standard pay.
  • It should not be forgotten that there is an overtime bonus of at least 40%.
  • In most cases, you can convert your space travel days into money.

AVSPASERING – RULES IN STATE-owned COMPANIES

  • In each case, it is necessary to obtain prior consent from the employer to use space travel.
  • Any plusstimer you have accumulated should be used as free. Therefore, at least four months before the end of the settlement period, you and your employer should plan days off as part of avspasering.
  • A maximum of 50 overtime and 10 minus timers can be carried over to the next billing period. If you exceed the 10 minus timer limit, this will be deducted from your payout. Overtime over 50 hours is canceled without compensation.
  • A maximum of 180 overtime hours can be earned for avspasering in one calendar year.
  • All plusstimers and minustimers must be used within the notice period.

WHEN CAN I USE HOURS AT THE BANK?

You can apply for time off from the bank at any time, but your employer has the right to reject the request if it deems it more beneficial for the company. A necessary condition for taking time off as part of avspasering is to work overtime in advance over the established standard working time. In other words: first the overtime - then determining and collecting it in the form of paid days off.

SUMMARY

Managing overtime and spare time (time off in exchange for overtime) is a complex process that requires both understanding of legal regulations and the ability to plan effectively. Legal regulations specify the maximum amount of overtime that an employee can work in a year, and also set out the rules regarding compensation for overtime work. It is worth noting that many of these policies can be adjusted by internal company agreements. Therefore, it is so important that employees and employers maintain regular contact to plan and settle overtime, which helps avoid potential misunderstandings and conflicts.