In June 2018, the Federal Labour Court (Bundesarbeitsgericht, BAG) dealt intensively with forfeiture periods. The judgments addressed: The date when the deadline starts to run (07 June 2018; docket number 8 AZR 96/17); The suspension due to settlement negotiations (20 June 2018; docket number 5 AZR 262/17); and The entitlement for statutory minimum wage during …
Category Archive: Standard contractual terms and conditions of employment
The right to extend working hours – sec 9 Act on Part-Time Work and Fixed-Term Employment (TzBfG)
Many employees want flexibility at work; often, this means there is a desire to work part-time (less than 40 hours a week). However the reverse case is also not uncommon; an employee wants to increase his working hours, particularly to earn more money. Both cases are covered by German law. However, there is a claim …
The sweet sorrow of parting – 3 year long termination notice period puts employee at disadvantage
German employment law allows the parties to an employment contract to agree a specific notice period in derogation from the statutory standard period as set out in § 622 para. 1 German Civil Code (Bürgerliches Gesetzbuch, BGB), as long as the notice period for an employee does not exceed the notice period for the employer. However, the …
Employee’s request for fixed-term employment narrowly interpreted
Entering into a valid fixed-term contract can be a bit of a challenge under German law. Under the Fixed Term and Part-Time Employment Act (TzBfG), one of the reasons which may be used to justify a fixed-term contract is that there are reasons relating to the circumstances of the particular employee. A recent case decided …
Forfeiture clause was valid to prevent employee’s claim despite not excluding minimum wage entitlement
In a judgement of 9 May 2017 (docket number 7 Sa 560/16 ) the regional labour court of Nurnberg held that a forfeiture clause which did not exclude entitlement to minimum remuneration was not invalid. The forfeiture clause simply did not apply to claims for minimum remuneration. The parties had entered into an employment contract …
Federal Labor Court rulings to watch in 2017 (edition Jan – March)
Already in the first quarter of the New Year Germany’s Federal Labor Court will deliver a number of judgments important for advisors and practitioners alike: Time Credits for works council members? (- docket no 7 AZR 224/15 – expected for 18 January 2017- ) Although members of a works council act in an honorary role …
Exclusion Clauses: “Textual Form” to be Sufficient
Many employees are not adequately informed as to what a requirement for notification in “written form” encompasses. With regard to exclusion clauses, this lack of information can lead to an inability to exercise certain rights. Generally, exclusion clauses in employment contracts include provisions under which claims arising from the employment contract become void if they are …
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 …
Financial compensation entitlement for post-contractual non-compete based on standard saving clause
In German law, a post-contractual non-competition agreement with an employee is only effective if it provides the employee with appropriate financial compensation. The financial compensation must amount to at least 50% of the previous income. If no such compensation is provided, the post-contractual non-competition clause is, by force of law, invalid. Nevertheless, the Hamm …
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