Monthly Archive: May 2016

Terminations for breaches of compliance regulations

On 26 February 2016 (docket number: 1 Sa 358/15) the Higher Labour Court (Landesarbeitsgericht, LAG) Rhineland-Palatinate decided that an employer may terminate the employment relationship with an employee who breached company compliance rules provided the employee was served with a warning for a similar violation before. In the present case the court found that the …

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Dissolution of the works council only in case of a collective breach of duties

On 4 February 2016 (docket number: 10 TaBV 2078/15) the Higher Labour Court Berlin-Brandenburg (Landesarbeitsgericht, LAG) ruled that where only individual works council members breach their legal duties, the works council will not be dissolved as a whole. In the case at hand, the parties were in dispute over the dissolution of the works council …

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Revisions to the Maternity Protection Act

Recently, the German Federal Cabinet approved a draft law which will amend the Maternity Protection Act (Mutterschutzgesetz). According to the coalition’s plans, the reform will come into force on 1 January 2017. The key changes are: Increase of the period of protection (during which women cannot work) after the birth of a child with disabilities …

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Instructions about phone use require prior consultation of Works Council

On 18 November 2015, the Labour Court (Arbeitsgericht, ArbG) Munich (November 18, 2015 – docket-number: 9 BV-Ga 52/15) decided that an employer must consult the works council prior to establishing and enforcing a ban on private mobile phone use. In this decision the works council (plaintiff) argued that a ban of mobile phones at the …

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Holiday pay is not creditable against the statutory minimum wage

On 25 September 2015, the Higher Labour Court (Landesarbeitsgericht, LAG) Berlin-Brandenburg (docket number: 8 Sa 677/15) was concerned with the question, whether holiday pay is creditable against the statutory minimum wage. However it ruled, that the holiday pay is not creditable against the statutory minimum wage without an effective change of the employment contract. Substantially …

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Update on German Labour Leasing Laws – Coalition Agreement

According to Federal Minister Andrea Nahles (SPD), the coalition have now made a breakthrough on proposals to amend the German labour leasing laws. After a meeting of the coalition committee on 10 May 2016, the participants agreed on “clear rules” for employees and employers. They clearly agreed on the principle of “Equal pay for work …

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No extraordinary termination where employee threatens to run amok as a spur-of-the-moment reaction in internal integration management proceedings

The Higher Labour Court Hessen (LAG Hessen) ruled on 22 April 2015 (docket number 2 Sa 1305/14) that an extraordinary termination based on the employee’s threat during internal integration management proceedings to run amok may be invalid as a result of a balancing of interests. In Germany an extraordinary termination without notice requires an important …

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Statutory minimum wage does not constitute a reference point to establish the invalidity of a salary agreement

The Federal Labour Court (BAG) ruled on 18 November 2015 (docket number 5 AZR 814/14) that the comparative standard to render a salary agreement invalid is the common salary in the relevant economic sector and not the minimum wage. In the case at hand, the employee worked as a bus hostess on a school bus …

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Damages and injury award because of lower wages for female workers

On 28 October 2015, the Higher Labour Court (Landesarbeitsgericht, LAG) Rhineland-Palatinate (October 28, 2015 – docket number: 4 Sa 12/14) decided that an employer who pays female employees less than their male counterparts is liable to pay the difference in damages plus a compensation award. Any employers not complying with the “equal job – equal …

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