Tag Archive: temporary workers

Revision of the Law on Temporary Work from 1 April 2017

The German Parliament (Bundestag), with the approval of the Federal Council (Bundesrat), has passed amendments to the “Law on Temporary Work”. The new rules will enter into force on 1 April 2017 and do not only have impact on leasing personnel but also on work and service contracts. The key changes introduced by the reform …

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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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Update on Reform Regarding German Labour Leasing Laws

After the original legislative proposal made in November 2015 regarding reforms to the Labour Leasing Laws (please also see our Employment Blog contribution dated 10 December 2015) met massive resistance not only within the government but also by employers’ associations and German scholars and jurisprudence, the German Labour Ministry has now presented an amended legislative …

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Proposed changes to labour leasing laws

Following announcements since the last general elections, a proposal has now been made to amend existing labour leasing laws. A legislative proposal was circulated in November and focuses on the following key aspects: Maximum duration: Temporary work by way of labour leasing shall be limited to a duration of 18 consecutive months with the same …

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Temporary agency workers cannot be charged with ‘negative’ working hours

A temporary employment agency is not allowed to charge an agency worker’s working time account with ‘negative’ hours, whenever the worker is not rented out to a client. The regional labour court Berlin-Brandenburg ruled such action to be a violation of the German Commercial Agency Work Act (Arbeitnehmerüberlassungsgesetz, AÜG). The agency worker’s right to remuneration …

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The perils of works agreements: Employment contract with the company despite licensed supplier in the case of fake framework service contracts

When companies lease out workers on the basis of work or service contracts (Werk- oder Dienstverträge), they often also hold a license to supply agency workers in terms of sec. 1 I 1 of the German Act on Regulating Commercial Agency Work (Arbeitnehmerüberlassungsgesetz, AÜG) in order to avoid the establishment of an employment relationship between …

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Waited long enough?

Times during which a temporary worker was incorporated into the operation of the leasing company may, in case thereafter a contract between himself and the leasing company is concluded, not be considered as waiting time to trigger the applicability of the German Dismissal Protection Act (Kündigungsschutzgesetz, KSchG). This was decided by the  Federal Labour Court …

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Temporary workers stay temporary workers

 The German Federal Labour Court (Bundesarbeitsgericht, BAG) ruled on June 3, 2014 (docket number 9 AZR 111/13) that the coalition government’s plan to adjust the German Temporary Employment Act (Arbeitnehmerüberlassungsgesetz, AÜG) does not authorise the courts to deviate from current statutory law. The court rather confirmed its recent jurisdiction according to which a permanent leasing …

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Greater enforcement of posted workers’ rights

The European Parliament intends to strengthen the rights of workers posted temporarily to provide services abroad.  On April 16th 2014 the EU Parliament voted for draft legislation aimed at improving the rules of the 1996 directive on the working conditions of posted workers. In particular, the new law shall avoid the circumvention of employee protection …

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You can’t have everything – no changes regarding intra-group agency work

The Government specifies the planned amendments of the Regulating Commercial Agency Work Act (Arbeitnehmerüberlassungsgesetz). According to the Government’s response to a parliamentary question (kleine Anfrage) put by the Group of the Greens (Die Grünen) the government does not plan any special regulations for the agency work within affiliated group companies (konzerninterne Arbeitnehmerüberlassung). In the Government’s …

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