Corporate office and contractual service relationships must be distinguished. Senior status does not automatically exclude every employment protection or participation rule.
Clear criteria and accountable decisions
Identify the affected group, existing rules and responsible decision-makers. Statutes, collective terms, works agreements and individual promises need to be considered together. Directors, senior executives and other employees may fall under different rules. A single corporate policy does not remove these differences.
Before implementation, define criteria, procedures and review mechanisms. Selection, pay and personnel decisions must be legally defensible and free of unlawful discrimination. Digital processes require particular attention to purpose, data access and human responsibility. Review representative participation early enough for it to influence the planned arrangement.
Documents and practical implementation
Useful documents include policies, process descriptions, contracts and technical specifications where relevant. Distinguish changes required before implementation from issues addressed through clearer responsibilities or documentation. Training and review of actual practice help maintain compliance. A changed system, purpose or organisation may require a new assessment rather than relying indefinitely on an earlier approval.
Four practical examples
These illustrative situations highlight the issues to examine. The outcome depends on the agreement and the facts that can be established.
Example 1
A managing director is removed from office. Check the separate service contract and termination requirements.
Example 2
A senior employee is labelled an executive. Assess whether the statutory criteria are actually met.
Example 3
A bonus depends on corporate figures. Define calculation, information rights and departure treatment.
Example 4
A director becomes an employee after restructuring. Clarify the new status and continuing rights.
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Deutsch · Reviewed on 13 November 2026.