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German Labour Laws

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    Employment and Termination of Employment

    • In Germany, all employers and employees must have the terms of the employment clearly written out in a formal contract. This applies to full or part-time jobs, and jobs of long or short duration. The salary, vacation time and other terms of the employment must be included in this contract. Salaries are generally high, with starting salaries of €30,000 common for recent university graduates. An average work week is 40 hours with Sundays and holidays off. An initial starting period of probation is not uncommon, during which termination of an employee is less restricted. However, if a business or company employs five or more people, employees of longer than six months are protected by stringent laws. These laws include a standard termination notice period of four weeks.

    Leaves and Vacation Time

    • German labor law sets out specific paid vacation time and times for paid and unpaid leave. Vacation time is customarily between four and six weeks. Sick leave must be paid for up to six weeks. Germany has a Maternity Protection Act which not only mandates paid maternity leave but restricts the work that can be expected from the employee, and mandates an employee cannot work for six weeks before the expected due date or for eight to twelve weeks afterwards. Additionally, a pregnant worker cannot be fired. Parental leave is available for both parents up to three years, and either the same or comparable work must be available when they return.

    Unions and Co-Determination

    • Germany protects the rights of workers to form unions and bargain collectively, but has no particular trade union law. Workers can form workers councils, which help decide company policy as well as protect workers. Unions and councils are legal entities under the law. In Germany, unions are also responsible for the company or business. Two acts in particular govern the relationship between unions and business and uphold the authority of union agreements: the Works Constitution Act and the Act on Collective Agreements.

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