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Rights and Obligations in an Employment Contract in Germany

An employment contract in Germany establishes a legal relationship between an employee (Arbeitnehmer) and an employer (Arbeitgeber). It outlines the rights and obligations of both parties, ensuring a fair and transparent working relationship. These rights and obligations are governed by German labor law, including the German Civil Code (BGB), the German Commercial Code (HGB), and various labor protection laws. Rights and Obligations of the Employee Rights of the Employee: Right to Remuneration: The employee has the right to receive the agreed-upon salary or wages as specified in the contract. Example: Payment must be made on time, usually at the end...

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Labour law changes in 2024

Key Legislative Changes in 2024 Fourth Bureaucracy Relief Act (BEG IV): From January 1, 2025, essential terms of employment can be provided electronically (e.g., via email) instead of requiring signed paper documents. Exceptions apply to high-risk industries such as construction and hospitality or if the employee specifically requests written documents. Employers must ensure systems for secure and verifiable electronic communication are in place. Increase in Minimum Wage: The statutory minimum wage rose to €12.41 per hour on January 1, 2024. As a result, the income threshold for mini-jobs increased to €538 per month. Employers must adjust payroll systems to reflect...

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Three Things You Should Know About The Termination Of Employment in Germany 

Welcome to Germany. As an Expat in Germany, you maybe think that Germans always have the perfect regulation for each situation. And yes, you are almost right. Leaving your job has also been regulated legally and there are extreme precise regulations you shall respect If you are leaving your job in Germany. Nope, to just take your stuff and leave is not allowed. Here three things you should know about the termination of employment in Germany: The termination of employment relationships by notice of termination or termination agreement must always be made in writing in order to be effective, Section...

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Key Changes in Labor Law Starting in 2025

Key Changes in Labor Law Starting in 2025 1. Fourth Bureaucracy Relief Act (BEG IV) Electronic Employment Contracts: Employers can now provide essential terms of employment electronically, such as via email, replacing the requirement for signed paper documents. This simplifies employment administration, especially for international hires. Exceptions apply in high-risk industries or when an employee explicitly requests written documentation. Electronic Employment References: Employers are also allowed to issue employment references electronically, which reduces administrative overhead and streamlines processes. 2. Minimum Wage Increase and Minijob Adjustments Minimum Wage: The statutory minimum wage has been increased to €12.82 per hour. Employers must Read more…

By horak Attorneys at law, ago

Employees Rights and Duties in Germany

The rights and duties of the employee, are regulated by individual law and written down in the employment contract. The employee makes his or her work performance available to the employer in return for payment. One of the fundamental condition for an employee ist that there must be a service relationship under private law, i.e. an employment contract.The employee is integrated into the employer’s organisation and is bound by instructions as to the content, performance, time and duration as well as the place of the activity. The general rights of the employee include: the right to employment, the receipt of income Read more…

By horak Attorneys at law, ago

Revocation of “Telework”: Decision of the Federal Labour Court

Can your boss just revocate the possibility to do “telework”? Is the consent of the work council necessary? If an employer intends to revoke a telework agreement, it must generally obtain the consent of the works council: Federal Labour Court, decision of 20.10.2021, 7 ABR 34/20. The Case: In a recent case, the question arose as to whether the revocation of a telework agreement constituted a transfer within the meaning of section 99 (1) BetrVG and thus required the works council’s consent. The Federal Labour Court (Bundesarbeitsgericht, BAG) now announced in a decision of 20.10.2021, 7 ABR 34/20, that the termination Read more…

By horak Attorneys at law, ago

Deceased employee’s request for termination agreement effective

Termination Agreement: What happens in Germany if a contractual termination agreement has been already been signed and the employee dies afterwards? Is the termination agreement still valid? The Landesarbeitsgericht Baden-Württemberg has already decided (judgement of 15.12.2021, 2 Sa 11/21). If the death of the employee occurs during the contract conclusion phase of a termination agreement, the agreement is effective unless a different will of the requesting party is to be assumed. A termination agreement is a contractual agreement between employer and employee terminating the employment relationship at a certain point in time. In comparison to a notice of termination, which takes effect Read more…

By horak Attorneys at law, ago

German Individual and Collective Labour Law

Labour law includes all legal rules relating to a service rendered within the framework of a dependent activity. It can be divided into individual and collective labour law. These two areas are not always clearly distinguishable from each other. The following figure shows an overview of labour law in Germany – in terms of legal sources, areas and stakeholders. Did we catch your attention? Do you want to know more about German Labour Law? CONTACT US.  We also offer labour law seminars on request. Get in touch with us. 

By horak Attorneys at law, ago

Labour Law Protagonists and Roles

Who are the protagonists of the German Labour Law System? The German labour law system distinguishes between the following protagonists: International workers in Germany? You should have a look at the following article.  Employee: An employee in the sense of labour law is someone who works for another in personal dependence on the basis of a contract regulated under private law for remunerated services. In order to distinguish employees from self-employed persons, German case law has developed many individual criteria: This includes whether and that a person is bound to a specific place and time, is integrated into the company organisation Read more…

By horak Attorneys at law, ago

Work leave during vacation days with an official quarantine order

Leave despite Corona quarantine Order If an employee does not submit a medical certificate of incapacity for work despite an official quarantine order, vacation days will be credited: Cologne Regional Labor Court, judgment of 13.12.2021, 2 Sa 488/21 Employees who have to go into an officially ordered quarantine during their vacation days are credited with these days even if the employee cannot use his vacation days due to the domestic quarantine. This decision of the Bonn Labor Court (Bonn Labor Court, judgment of July 7, 2021, 2 Ca 504/21) has now been confirmed by the Cologne Regional Labor Court (LAG) Read more…

By horak Attorneys at law, ago