Warning letter under German labour law

Template This is only a template of a notice of warning and shall be modified and adapted to your situation and needs.

<Sender>

<Recipient>

Notice of Warning

<Date>

Dear Mr./Mrs./Ms. <Surname>,

We unfortunately have to communicate you that we are aware of the following:

<Description of the misconduct>

By doing so, you have violated an obligation under the employment contract, <name / clause>. Your misconduct leads us to this notice of warning.

We hereby expressly inform you that we are not prepared to accept further breaches of duty.In case of another misconduct or illegal behavior, we will be ready to take further measures. These may even mean a termination of the employment relationship. We have sent you a draft of this warning letter in advance in order to give you the possibility to react to our accusations. You have made the following statement:  <Statement> Your explanation, however, does not change the fact. The breach of duty continues to exist for the following reason/-s:   <Reasons> A copy of this letter will be added to your personal file.

Kind Regards,

 

The Employer <Signature>

Gratuity under German labour law

When the employment contract is terminated, the employee can demand (under certain conditions) for a severance pay/ gratuity (Abfindung) from his employer. This should provide him with a financial compensation for the loss of the workplace.

If an employer pronounces a lawful termination, he does not have to pay any compensation unless it was previously agreed in the employment contract that in case of a regular termination of the employment relationship a severance pay has to be provided.

The amount of the compensation ultimately depends on the individual case. The rule settlement is half a month’s salary per year of work.

If one of the following situations is not applicable, the employee can nevertheless negotiate a severance payment:

  • The employer and the works council provide for a severance payment in the event of termination.
  • The employee makes a request to terminate the employment contract against payment of compensation and the Labor Court gives this order. The employee must justify the application.

The riskier is the move of the employer, as many possibilities has the employee to receive the severance pay.

Termination of employment

Terminating an employment contract can be regulated by an ordinary or an extraordinary termination.

If the employer or the employee wants to withdraw from the employment contract before the period of notice, the following possibilities have to be taken into consideration:

  • Annulment
  • Exemption from work
  • Termination without notice

Please make sure to contact a lawyer in order to be perfectly aware of your choices, to be prepared for the consequences and to know exactly the advantages and disadvantages of your decision.