The 6 Best Labor Tracking Software Solutions for 2025

Labor tracking is the process of monitoring and recording employees’ work hours, tasks, and locations to ensure accurate payroll, productivity, and project management. This practice involves using software to log time entries, verify attendance, and analyze labor costs.

Labor software, often referred to as labor management software (LMS), is a digital tool designed to streamline and optimize workforce management processes. It encompasses a range of functionalities that help businesses manage their employees more efficiently, including:

Key Features of Labor Management Software

1. Time and Attendance Tracking: This feature captures employee clock-in/clock-out data, tracks hours worked, and monitors attendance. Some systems include geofencing to automate clocking in and out based on location

2. Scheduling and Shift Management: LMS allows managers to create optimized employee schedules based on forecasted demand and business needs.

3. Performance Management: Tools are provided to track employee performance, set goals, and offer feedback.

4. Labor Cost Management: This involves tracking and managing labor costs, including labor budgets, wage rates, and benefits.

5. Compliance Management: Ensures adherence to labor laws and regulations, such as overtime rules and minimum wage laws.

6. Workforce Planning and Forecasting: Helps predict labor demand and plan labor resources accordingly

Effective labor tracking helps businesses maintain compliance with labor laws, optimize resource allocation, and identify inefficiencies. It is especially crucial in industries like construction, where precise timekeeping and workforce management are essential for meeting project deadlines and staying within budget. Advanced labor tracking solutions often include features like GPS tracking, geofencing, and real-time reporting for enhanced oversight.

Labor tracking works by using software tools to monitor and record employees’ work hours, tasks, and locations. Employees clock in and out via mobile apps, web browsers, or biometric devices, capturing accurate time entries. GPS tracking and geofencing ensure employees are at the correct job sites.

The software automatically logs this data, calculates labor costs, and generates real-time reports. Managers can review and adjust time entries, monitor workforce distribution, and ensure compliance with labor laws. This streamlined process enhances productivity, reduces errors, and provides valuable insights for better resource allocation and project management.

The best labor tracking software with a free trial is Workyard. It offers a comprehensive suite of features designed to streamline workforce management and enhance productivity. With precise GPS time tracking, automated compliance, and easy-to-review timecards, Workyard ensures accurate labor tracking and efficient project management.

The platform’s intuitive interface makes it user-friendly, while its robust reporting capabilities provide valuable insights into labor costs and productivity. Additionally, Workyard integrates seamlessly with payroll systems. For businesses looking to optimize their labor tracking without incurring costs, Workyard is an excellent choice. Sign up for a free trial to experience its benefits firsthand.

Yes, it is generally legal to work 60 hours a week on a salary, but overtime pay requirements depend on whether the employee is exempt or non-exempt under the Fair Labor Standards Act (FLSA). Exempt employees are not entitled to overtime pay, while non-exempt employees must receive overtime compensation for hours worked beyond 40 per week.

The number of hours you can work on light duty depends on your employer, medical restrictions, and state labor laws. While federal law does not set a limit, your hours may be restricted based on doctor recommendations, workers’ compensation rules, or employer policies.

In a two-week pay period, overtime is not calculated based on weekly increments but rather on the cumulative hours worked over the entire two-week period.

To trigger overtime in a two-week pay period, an employee usually needs to work more than a total of 80 hours over the two weeks. It’s the total hours worked in the entire pay period that determines eligibility for overtime, not the hours worked in individual weeks.

Example: If an employee works 45 hours in the first week and 40 hours in the second week, totaling 85 hours over the two weeks, the 5 hours worked beyond the 80-hour threshold would qualify for overtime pay.

Per diem employees, also known as “as-needed” or “casual” employees, typically have flexible work arrangements without set schedules or guaranteed minimum hours. Per diem employees can work as many hours as the employer needs and they’re willing to accept, subject to company policy and applicable labor laws.

Hours are variable and as-needed (e.g., filling peak demand or covering absences), so a per diem worker might log a few hours one week and near full-time the next. The arrangement offers flexibility for both sides: employers can scale staffing without fixed schedules, and workers can choose availability.

Overtime rules still apply: if a non-exempt per diem employee works over the legal weekly threshold (often 40 hours), they’re typically entitled to overtime pay per law and policy. Always confirm your employer’s scheduling rules, overtime practices, and any limits tied to benefits or classification.

For FLSA-exempt salaried employees, pay generally doesn’t change—if they do any work in a workweek, they must receive their full salary even if they worked fewer than 40 hours. By contrast, salaried non-exempt employees are still paid based on hours worked (and get overtime over 40), so sub-40-hour weeks can reduce their pay.

Limited deductions from an exempt employee’s salary are allowed, such as full-day absences for personal reasons or sickness/disability when covered by a bona fide leave plan. Employers may require using PTO for partial-day absences instead of docking salary.

Because policies vary, review your handbook and talk with HR—especially if reduced hours will be ongoing—to align with company rules and applicable federal/state law.

A 1099 employee, also known as an independent contractor, does not have a set limit on work hours under federal law. Unlike traditional employees, independent contractors determine their own schedules, as long as they fulfill the terms of their contract. However, state-specific labor laws may impact how they bill for overtime or work-related benefits.

There’s no federal cap. Under the FLSA, salaried exempt employees can be required to work as many hours as needed to meet their job duties, and they don’t earn overtime. Hours are driven by role demands (common in executive, administrative, professional, and managerial jobs) and by any expectations set in your employment agreement or company policies.

While employers may set long hours, they should still manage workloads reasonably and comply with any applicable state rules (e.g., required meal/rest breaks). If hours are consistently unsustainable, discuss expectations with your manager and review your contract, handbook, and local laws to understand what’s required and what flexibility exists.

There is no federal law requiring 15-minute breaks, but some states set their own rules. Key points:

• California: Non-exempt employees working over 3.5 hours get a 10-minute paid rest break.
• Oregon: Employees working over 6 hours get a 30-minute meal break.
• Other states: Rules vary, so check local laws.
• Employer choice: Companies may offer breaks voluntarily to improve morale and productivity.
• Paid breaks: If under 20 minutes, breaks are usually paid.

Ohio is not classified as a right-to-work state. In non-right-to-work states like Ohio, employees covered by collective bargaining agreements can be required to pay union dues or fees as a condition of employment, even if they choose not to join the union.

The legal framework regarding union membership and dues payment in Ohio is primarily governed by state labor laws and collective bargaining agreements negotiated between employers and unions. These agreements outline the terms and conditions of employment, including union membership requirements and dues obligations.

Under federal law, 16-year-olds can work unlimited hours in non-hazardous jobs, but states often set restrictions. Examples include:

• California: 4 hours on school days, up to 48 hours weekly.
• Florida: 8 hours on non-school days, max 30 per week.
• Illinois: No work before 7 AM or after 9 PM.
• Minnesota: Max 8 hours daily, 40 weekly; 30-min meal break.
• Nebraska/North Dakota: No hour limits, but hazardous jobs prohibited.

Always check your state’s labor laws, as rules vary widely.

There is no federal law that limits the number of hours an employee can work in a day. The Fair Labor Standards Act (FLSA) does not set maximum work hours, but it does require overtime pay for non-exempt employees working more than 40 hours in a week​. State laws vary regarding required breaks and limits on work hours.

In Kentucky, employees can work six hours without a lunch break, but state law requires a meal break for longer shifts. According to Kentucky labor laws, employers must provide a reasonable meal break of at least twenty to thirty minutes for employees who work more than five hours. This break should occur between the third and fifth hour of the shift, ensuring that employees have time to rest and eat during their workday.

For a six-hour shift specifically, an employee is entitled to one meal break and a paid rest break of at least ten minutes for every four hours worked. However, if an employee works less than five hours, there is no legal requirement for a lunch break.

Therefore, while it is permissible to work a full six-hour shift without taking a lunch break, it is advisable for both employers and employees to adhere to the recommended practices for breaks to maintain productivity and health.

There’s no universal rule. In the U.S., the FLSA doesn’t require advance notice for mandatory overtime; it only requires time-and-a-half for non-exempt employees after 40 hours in a workweek. How much notice you must get depends on state/local laws, your employer’s policies, and any union/collective bargaining agreement. Many employers set “reasonable notice” guidelines—often 24 hours to several days—to help employees plan, but shorter notice may be allowed if policy or contracts permit. Check your handbook and, if applicable, your CBA and state rules for any specific notice requirements or extra compensation tied to short-notice overtime.

In Georgia, neither state law nor the Fair Labor Standards Act (FLSA) requires employers to provide meal or rest breaks. Most companies, however, choose to offer a 30-minute lunch break, which is usually unpaid. Shorter breaks of less than 20 minutes must be paid if they are provided, and if an employee works through their lunch, that time must also be compensated. Nursing mothers are entitled to reasonable unpaid breaks to pump milk, though they may use paid short breaks if the employer offers them. Ultimately, break policies depend on the employer, so employees should check company guidelines.

To approve a timesheet in the Paylocity app, you’ll need to log in, review your hours, select either daily or bulk approval, and then save your changes. If corrections are needed, you can unapprove, edit, and reapprove entries before finalizing.

• Log in: Open the Paylocity app and sign in.
• Go to Timesheet: Tap “Time & Labor” then select “Timesheet.”
• Review hours: Check regular time, overtime, and leave for accuracy.
• Approve time:
  • Individual approval: Check the box for each day.
  • Bulk approval: Tap “Approve All.”
• Save: Click “Save” to confirm approvals.
• Make changes if needed: Unapprove, edit, then reapprove before saving.
• Check totals: Verify the summary at the bottom matches your hours.