Category Archive: Remuneration

An incapacitated employee should be given extended time to give a statement prior to a termination on spec

According to a decision of the state labour court of Berlin-Brandenburg, an employee must be given extended time to give a statement regarding a termination on spec, if they are unable to work due to ongoing sickness over a long period of time (docket number: 10 Sa 378/16). The severely disabled employee worked as an …

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New Law on Pay Transparency soon to be adopted by German Bundestag

At the beginning of this week (13 February 2017), the German government introduced the bill on pay transparency (which was adopted before by the cabinet on 11 January 2017) to the German Bundestag. The German federal assembly was asked beforehand for its opinion and did not raise any concerns. The draft bill will be debated …

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40 Euro lump sum compensation in the event of late or incomplete wages

On 22 November 2016, the Labour Court Cologne decided that an employer who pays late or incomplete wages is obliged to pay lump sum compensation in the amount of 40 Euros to the affected employee (Judgement of 22.11.2016 – 12 SA 524/16). In 2011 the European Parliament and the Council of the European Union passed …

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Attendance premiums may set off minimum wage entitlement

Attendance premiums paid in addition to the hourly wage may be used to satisfy an employee’s minimum wage entitlement (judgment by the Higher Regional Labour Court Mecklenburg-Vorpommern dated 22 November 2016, docket number: 5 Sa 298/15). In the case at hand, the employee was entitled to a remuneration based on an hourly wage as well …

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Equal Pay Act – A prospect

The coalition committee set the outline for an Equal Pay Act on 6 October 2016, thereby affirming that the current gender pay gap between men and women is no longer acceptable. Moreover, the Equal Pay Act should support families with a low income. According to official statistics the wages of female employees are currently about …

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Employer versus heirs: liability for holiday entitlements

The Higher Labour Court Cologne (Landesarbeitsgericht, LAG) ruled on 14 September 2016 (docket number 8 Sa 324/16) that holiday entitlements do not extinguish if the employment relationship ends by reason of the worker’s death. The heirs can claim all outstanding leave benefits not depending on whether the claim for allowance in lieu existed at the …

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Cut-off periods may not limit employees’ claims if the employer neglects to give employees relevant information

The expiry of a limitation period does not necessarily result in the forfeiture of claims if the employer neglects to inform the employee about circumstances which would have led to him making claims within the cut-off period, the State Labour Court of Düsseldorf (Landesarbeitsgericht Düsseldorf, docket number 10 Sa 1033/15) ruled on April 29, 2016. …

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Continued remuneration during outpatient care

On 25 May 2016 the Federal Labour Court (Bundesarbeitsgericht, docket number 5 AZR 298/15) ruled that employees on statutory insurance have a claim against their employer for continued remuneration during preventative outpatient care, if it is carried out with the approval of the social service provider in a facility for medical prevention or rehabilitation within …

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Statutory minimum wage for on call times

The Federal Labour Court (Bundesarbeitsgericht) decided on 29 June 2016 (5 AZR 716/15) that the statutory minimum wage must be paid for each hour of actual work. On call times during which the employee has to be available to start work if required at a place that is determined by the employer also count as …

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Repayment of costs of continuing training

The Higher Labour Court (Landesarbeitsgericht, LAG) Rheinland-Pfalz decided on 3 March 2015 (docket no. 8 Sa 561/14) that a repayment clause for costs of continuing training in an employment contract is void if it only provides for an annual reduction of the repayment obligation. In this case,  the employee was obliged to participate in a …

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