{"id":12407,"date":"2025-03-19T12:20:21","date_gmt":"2025-03-19T12:20:21","guid":{"rendered":"https:\/\/bosporus24.de\/?p=12407"},"modified":"2025-03-18T12:34:32","modified_gmt":"2025-03-18T12:34:32","slug":"buerokratie-im-deutschen-arbeitsrecht-was-unternehmen-aus-der-eu-beachten-muessen","status":"publish","type":"post","link":"https:\/\/bosporus24.de\/en\/buerokratie-im-deutschen-arbeitsrecht-was-unternehmen-aus-der-eu-beachten-muessen\/","title":{"rendered":"Bureaucracy in German labor law: What companies from the EU need to consider"},"content":{"rendered":"<p>When companies from the EU operate in Germany or post employees to Germany, they must comply with numerous labor law regulations. German employment law is known for its extensive regulations for the protection of employees, which is often a challenge for foreign employers. Here is an overview of the most important obligations and requirements.<\/p>\n<h3 data-start=\"504\" data-end=\"571\"><strong data-start=\"508\" data-end=\"569\">1 Employment contracts in Germany: What is mandatory?<\/strong><\/h3>\n<p data-start=\"573\" data-end=\"721\">In Germany, the so-called <strong data-start=\"608\" data-end=\"626\">Evidence Act<\/strong>which obliges employers to record the most important contractual conditions in writing.<\/p>\n<ol>\n<li data-start=\"723\" data-end=\"1158\"><strong data-start=\"725\" data-end=\"758\">Written employment contract:<\/strong> Although verbal contracts are valid in Germany, the employer must confirm the essential working conditions to the employee in writing.<\/li>\n<li data-start=\"723\" data-end=\"1158\"><strong data-start=\"915\" data-end=\"945\">Mandatory information in the contract:<\/strong> These include working hours, remuneration, notice periods and vacation entitlement.<\/li>\n<li data-start=\"723\" data-end=\"1158\"><strong data-start=\"1026\" data-end=\"1057\">Fixed-term employment contracts:<\/strong> These must always be concluded in writing, otherwise they are automatically deemed to be open-ended.<strong data-start=\"1160\" data-end=\"1179\">Practical example:<\/strong><br data-start=\"1179\" data-end=\"1182\" \/>An Italian company hires a sales employee in Germany. The contract must be in writing and clearly regulate which working hours, salary components and notice periods apply.<\/li>\n<\/ol>\n<h3 data-start=\"1395\" data-end=\"1474\"><strong data-start=\"1399\" data-end=\"1472\">2. working hours and overtime: Strict regulations in Germany<\/strong><\/h3>\n<p data-start=\"1476\" data-end=\"1556\">The <strong data-start=\"1480\" data-end=\"1509\">Working Hours Act (ArbZG)<\/strong> sets clear limits for working hours:<\/p>\n<ul>\n<li data-start=\"1558\" data-end=\"1802\"><strong data-start=\"1560\" data-end=\"1589\">Maximum 8 hours per day<\/strong>in exceptional cases up to 10 hours.<\/li>\n<li data-start=\"1558\" data-end=\"1802\"><strong data-start=\"1632\" data-end=\"1666\">At least 11 hours rest time<\/strong> between two working days.<\/li>\n<li data-start=\"1558\" data-end=\"1802\"><strong data-start=\"1699\" data-end=\"1723\">Overtime regulation:<\/strong> Overtime must either be paid or compensated by time off.<\/li>\n<\/ul>\n<p data-start=\"1804\" data-end=\"2022\"><strong data-start=\"1804\" data-end=\"1835\">Important for EU employers:<\/strong><br data-start=\"1835\" data-end=\"1838\" \/>Working hours in Germany are more strictly regulated than in many other EU countries. Violations of the Working Hours Act can be punished with fines of up to \u20ac15,000.<\/p>\n<p data-start=\"2024\" data-end=\"2254\"><strong data-start=\"2024\" data-end=\"2043\">Practical example:<\/strong><br data-start=\"2043\" data-end=\"2046\" \/>A Polish construction company sends workers to Germany for a project. They regularly work more than 10 hours a day. They are threatened with heavy fines during an inspection by the trade supervisory office.<\/p>\n<h3 data-start=\"2261\" data-end=\"2315\"><strong data-start=\"2265\" data-end=\"2313\">3. compulsory social insurance in Germany<\/strong><\/h3>\n<p data-start=\"2317\" data-end=\"2521\">As soon as an employee works in Germany, they are generally subject to German social security contributions, unless they have a <strong data-start=\"2468\" data-end=\"2488\">A1 certificate<\/strong> (for postings from the EU).<\/p>\n<p data-start=\"2523\" data-end=\"2602\">German social security contributions are made up of the following components:<\/p>\n<ul data-start=\"2604\" data-end=\"2850\">\n<li data-start=\"2604\" data-end=\"2701\"><strong data-start=\"2606\" data-end=\"2630\">Health insurance:<\/strong> approx. 14.6 % (half borne by the employer and half by the employee)<\/li>\n<li data-start=\"2702\" data-end=\"2736\"><strong data-start=\"2704\" data-end=\"2727\">Pension insurance:<\/strong> 18,6 %<\/li>\n<li data-start=\"2737\" data-end=\"2776\"><strong data-start=\"2739\" data-end=\"2768\">Unemployment insurance:<\/strong> 2,6 %<\/li>\n<li data-start=\"2777\" data-end=\"2850\"><strong data-start=\"2779\" data-end=\"2802\">long-term care insurance:<\/strong> 3.05 % (childless employees pay 3.4 %)<\/li>\n<\/ul>\n<p data-start=\"2852\" data-end=\"3028\"><strong data-start=\"2852\" data-end=\"2865\">Exception:<\/strong><br data-start=\"2865\" data-end=\"2868\" \/>If an employee is only temporarily posted from an EU country, they remain covered by social security in their home country if they have a valid <strong data-start=\"2996\" data-end=\"3016\">A1 certificate<\/strong> is available.<\/p>\n<p data-start=\"3030\" data-end=\"3232\"><strong data-start=\"3030\" data-end=\"3049\">Practical example:<\/strong><br data-start=\"3049\" data-end=\"3052\" \/>A Czech logistics company has deployed drivers in Germany. Without an A1 certificate, the drivers must be registered for social security in Germany.<\/p>\n<h3 data-start=\"3239\" data-end=\"3311\"><strong data-start=\"3243\" data-end=\"3309\">4. minimum wage and payroll accounting: no room for violations<\/strong><\/h3>\n<p data-start=\"3313\" data-end=\"3483\">In Germany, a statutory <strong data-start=\"3350\" data-end=\"3365\">Minimum wage<\/strong>which is regularly adjusted. Since January 2024, it has been <strong data-start=\"3426\" data-end=\"3448\">12,41 \u20ac per hour<\/strong> (as of 2025 it could rise).<\/p>\n<p data-start=\"3485\" data-end=\"3529\"><strong data-start=\"3488\" data-end=\"3527\">Attention for employers from the EU:<\/strong><\/p>\n<ul data-start=\"3530\" data-end=\"3727\">\n<li data-start=\"3530\" data-end=\"3609\">The minimum wage applies to all employees, including posted workers!<\/li>\n<li data-start=\"3610\" data-end=\"3727\">In some sectors (e.g. construction, care, gastronomy) higher <strong data-start=\"3679\" data-end=\"3693\">Standard wages<\/strong>which must be complied with.<\/li>\n<\/ul>\n<p data-start=\"3729\" data-end=\"3970\"><strong data-start=\"3729\" data-end=\"3748\">Practical example:<\/strong><br data-start=\"3748\" data-end=\"3751\" \/>A Hungarian cleaning company provides staff for a job in Germany. It pays the Hungarian minimum wage. This leads to a breach of the German Minimum Wage Act, for which there is a risk of severe penalties.<\/p>\n<h3 data-start=\"3977\" data-end=\"4063\"><strong data-start=\"3981\" data-end=\"4061\">5. dismissal and occupational health and safety: German laws are employee-friendly<\/strong><\/h3>\n<p data-start=\"4065\" data-end=\"4235\">Germany has strict regulations on protection against dismissal. Especially the <strong data-start=\"4141\" data-end=\"4175\">Dismissal Protection Act (KSchG)<\/strong> protects employees from unjustified dismissals.<\/p>\n<ul>\n<li data-start=\"4237\" data-end=\"4654\"><strong data-start=\"4239\" data-end=\"4261\">Notice periods:<\/strong> The statutory notice period is at least 4 weeks, but is extended with the length of service.<\/li>\n<li data-start=\"4237\" data-end=\"4654\"><strong data-start=\"4381\" data-end=\"4402\">Reasons for termination:<\/strong> In companies with more than 10 employees, termination is only possible for <strong data-start=\"4474\" data-end=\"4535\">for operational, behavioral or personal reasons.<\/strong> reasons possible.<\/li>\n<li data-start=\"4237\" data-end=\"4654\"><strong data-start=\"4557\" data-end=\"4573\">Works Council:<\/strong> In larger companies, the works council has a say in dismissals.<\/li>\n<\/ul>\n<p data-start=\"4656\" data-end=\"4922\"><strong data-start=\"4656\" data-end=\"4675\">Practical example:<\/strong><br data-start=\"4675\" data-end=\"4678\" \/>A Spanish employer wants to make an employee in Germany redundant at short notice. As the company has more than 10 employees, this is not possible without further ado. The employer must provide evidence of a recognized reason for dismissal.<\/p>\n<h3 data-start=\"4929\" data-end=\"5000\"><strong data-start=\"4933\" data-end=\"4998\">6. reporting obligations for foreign employers in Germany<\/strong><\/h3>\n<p data-start=\"5002\" data-end=\"5112\">Companies from the EU that employ workers in Germany must comply with certain reporting obligations:<\/p>\n<ol>\n<li data-start=\"5114\" data-end=\"5622\"><strong data-start=\"5116\" data-end=\"5155\">Registration with the social insurance:<\/strong> Employers must register their employees for social insurance with a German health insurance fund (unless there is an A1 certificate).<\/li>\n<li data-start=\"5114\" data-end=\"5622\"><strong data-start=\"5308\" data-end=\"5353\">Customs declaration for posted workers:<\/strong> In certain sectors (e.g. construction, cleaning, care), employers from abroad must register their employees with German customs in advance.<\/li>\n<li data-start=\"5114\" data-end=\"5622\"><strong data-start=\"5501\" data-end=\"5531\">Tax registration:<\/strong> Companies without a registered office in Germany must register for payroll tax.<\/li>\n<\/ol>\n<p data-start=\"5624\" data-end=\"5791\"><strong data-start=\"5624\" data-end=\"5643\">Practical example:<\/strong><br data-start=\"5643\" data-end=\"5646\" \/>A Slovakian company sends fitters to Germany for an order. It fails to make the customs declaration, resulting in high fines.<\/p>\n<h3 data-start=\"5798\" data-end=\"5864\"><strong data-start=\"5802\" data-end=\"5862\">7. sanctions for violations of German labor law<\/strong><\/h3>\n<p data-start=\"5866\" data-end=\"5966\">Foreign employers who do not comply with German regulations risk severe penalties:<\/p>\n<ul>\n<li><strong data-start=\"5970\" data-end=\"5994\">Minimum wage violations:<\/strong> Fines of up to <strong data-start=\"6012\" data-end=\"6025\">500.000 \u20ac<\/strong><\/li>\n<li><strong data-start=\"6030\" data-end=\"6062\">Lack of social security:<\/strong> High back payments and penalties of up to <strong data-start=\"6101\" data-end=\"6113\">50.000 \u20ac<\/strong><\/li>\n<li><strong data-start=\"6118\" data-end=\"6142\">Violations of working hours:<\/strong> Fines of up to <strong data-start=\"6160\" data-end=\"6172\">15.000 \u20ac<\/strong><\/li>\n<\/ul>\n<p><strong data-start=\"6179\" data-end=\"6215\">Tip for employers from the EU:<\/strong><br data-start=\"6215\" data-end=\"6218\" \/>Before deploying employees in Germany, all labor law regulations should be checked and complied with in order to avoid legal problems and high penalties.<\/p>\n<h3 data-start=\"6401\" data-end=\"6459\"><\/h3>","protected":false},"excerpt":{"rendered":"<p>Wenn Unternehmen aus der EU in Deutschland t\u00e4tig werden oder Mitarbeiter nach Deutschland entsenden, m\u00fcssen sie zahlreiche arbeitsrechtliche Vorschriften beachten. Das deutsche Arbeitsrecht ist bekannt f\u00fcr seine umfangreichen Regelungen zum [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[211,212],"tags":[],"class_list":["post-12407","post","type-post","status-publish","format-standard","hentry","category-arbeitsrecht-mitarbeiter-aus-dem-ausland","category-buerokratie-im-deutschen-arbeitsrecht-was-unternehmen-aus-der-eu-beachten-muessen"],"_links":{"self":[{"href":"https:\/\/bosporus24.de\/en\/wp-json\/wp\/v2\/posts\/12407","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bosporus24.de\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bosporus24.de\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/bosporus24.de\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/bosporus24.de\/en\/wp-json\/wp\/v2\/comments?post=12407"}],"version-history":[{"count":1,"href":"https:\/\/bosporus24.de\/en\/wp-json\/wp\/v2\/posts\/12407\/revisions"}],"predecessor-version":[{"id":12431,"href":"https:\/\/bosporus24.de\/en\/wp-json\/wp\/v2\/posts\/12407\/revisions\/12431"}],"wp:attachment":[{"href":"https:\/\/bosporus24.de\/en\/wp-json\/wp\/v2\/media?parent=12407"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bosporus24.de\/en\/wp-json\/wp\/v2\/categories?post=12407"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bosporus24.de\/en\/wp-json\/wp\/v2\/tags?post=12407"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}