HORAK. RECHTSANWÄLTE · GERMAN EMPLOYMENT LAW

Employment law for business decisions.

Contracts, workplace change and disputes require clear legal decisions. We advise businesses, management and workplace representatives on individual and collective employment law in Germany.

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Twelve starting points for your matter

Find the legal issues relevant to the decision you need to make. Each topic explains the practical questions, documents and possible next steps, with four illustrative examples.

Employment contracts

Clear contracts connect duties, pay, working time and the actual organisation of work. We review new agreements, amendments and clauses used across a workforce.

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Dismissal and agreed termination

Dismissal and a termination agreement are different ways to end employment. Each needs attention to form, timing, protection and financial consequences.

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Termination agreements

An agreed departure should settle the relevant employment issues coherently. The financial figure is only one part of the decision.

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Restructuring and business transfers

Operational changes may trigger information, consultation and individual protection rules. A transaction timetable must leave room for the required employment procedures.

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Collective employment law

Collective employment law connects workplace participation, collective bargaining and employee representation at company level. These systems have different parties, powers and procedures.

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Managing directors and senior executives

Corporate office and contractual service relationships must be distinguished. Senior status does not automatically exclude every employment protection or participation rule.

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Working time and time recording

Working-time limits, reliable records and remuneration are separate legal questions. A practical system must also address breaks, corrections and responsibilities.

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Pay, bonuses and targets

Remuneration arrangements should explain what is fixed, what is variable and how performance is measured. Unclear procedures can create disputes even where the figures appear agreed.

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Sickness, continued pay and reintegration

Absence management should distinguish payment rights, evidence of incapacity and measures supporting a return to work. Sensitive health information needs particular care.

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Employment compliance and investigations

Internal investigations must balance reliable fact-finding, employee rights and timely decisions. Clear responsibilities help prevent inconsistent or excessive measures.

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Cross-border work and assignments

International assignments require a coordinated review of employment law, social security, immigration and tax issues. The destination and duration matter as much as the contractual label.

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Employment references

German employees may be entitled to a reference describing their employment and, where requested, performance and conduct. Accuracy and consistency are essential.

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Collective employment law

Workplace participation and collective negotiations have their own procedures and competent bodies. We help clarify responsibilities, prepare negotiations and coordinate collective processes with individual employment rights.

Works constitution and participation

The Betriebsverfassungsgesetz provides information, consultation and co-determination rights for works councils. The specific measure determines the required procedure.

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Works councils: elections and cooperation

Works council elections and day-to-day participation need clear responsibilities and reliable information. Employer support must respect the independence of the election process.

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Works agreements

A works agreement should define its scope, obligations and practical operation clearly. Statutory competence and the relationship with collective bargaining agreements must be checked first.

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Conciliation committees

A German Einigungsstelle can resolve specified works council disputes. Jurisdiction, composition, procedure and the limits of its decision-making power require preparation.

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Reconciliation of interests and social plans

A reconciliation of interests concerns the planned operational change; a social plan addresses economic disadvantages for employees. Negotiation strategy must reflect this distinction.

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Collective bargaining agreements

Collective agreements may govern pay, working time and many other conditions. Binding effect can arise from different legal and contractual routes.

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Central and group works councils

The competent representative body depends on the subject and the legal allocation of responsibilities. A preference for uniform group rules does not itself establish competence.

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Board-level employee representation

Employee representation on supervisory boards is distinct from works council participation. Company form, workforce figures and group attribution can affect the applicable regime.

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More employment-law topics

Our English service directory also covers leave, fixed terms, part-time work, equal pay, employee data, pensions, protected groups, independent contractors and technical inventions.

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Our firm and your contact

horak. Rechtsanwälte brings together lawyers with different qualifications and practice areas. We assign your matter according to the issues involved and coordinate related corporate, data-protection or intellectual-property questions where appropriate. Our head office is in Hannover; meetings at our locations are arranged in advance.

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How we start

1. Describe the matter

Outline the issue, parties and current deadlines. This allows us to check responsibility and possible conflicts.

2. Review the documents

We agree the documents needed, the scope of advice and the fee arrangement before work begins.

3. Decide the next steps

We assess the options and agree whether drafting, negotiations or court proceedings are appropriate.

Practical insights

Employment-law questions for HR teams, management and workplace representatives, with concrete examples and practical steps.

Restructuring: distinguish consultation and the social plan

A reconciliation of interests concerns whether, when and how an operational change is implemented. A social plan concerns compensation or mitigation of economic disadvantages. The two negotiations should be coordinated without confusing their legal functions.

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Introducing HR software with the works council

Review what a personnel system actually records, links and evaluates before it is purchased or deployed. Monitoring capability and decision support can engage several legal requirements at once.

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Working remotely from another country

An overseas home office can affect employment law, social security, immigration and tax. A general remote-work policy rarely answers all the questions arising from a particular destination and duration.

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Case law

Selected Federal Labour Court decisions, their actual decision dates and their practical implications. The articles distinguish the court’s ruling from the questions requiring a separate assessment in your organisation.

Holiday limitation periods and employer information

In its judgment of 20 December 2022, case 9 AZR 266/20, the Federal Labour Court explained the importance of employer cooperation for limitation of statutory holiday claims. A simple three-year calculation from the holiday year is not always sufficient.

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Working-time records: implementation and participation

The Federal Labour Court decision of 13 September 2022, case 1 ABR 22/21, is central to German working-time recording. Employers must organise a system that records daily working time; implementation also raises participation and data-protection questions.

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Garden leave during notice: the BAG on alternative earnings

In its judgment of 12 February 2025, case 5 AZR 127/24, the Federal Labour Court considered alternative earnings during employer-imposed release from work. An employee is not generally required merely because of that release to start another job before the notice period ends.

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