This Full Time Employment Contract template is designed for use in establishing permanent employment relationships under German law. It serves as a foundational document that defines the rights, obligations, and terms of employment between an employer and a full-time employee in Germany. The contract incorporates all mandatory elements required by German labor legislation, including the Documentation Act (Nachweisgesetz), and addresses key aspects such as working hours, compensation, leave entitlements, and notice periods. It is structured to ensure compliance with German employment laws while providing flexibility to accommodate various industries and roles. This document should be used when hiring permanent, full-time employees in Germany and must be provided to the employee within one month of the employment start date, as required by law.
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1. Parties: Identification of the employer and employee with full legal names and addresses
2. Background: Brief context of the employment relationship and effective date
3. Definitions: Key terms used throughout the contract
4. Position and Duties: Job title, role description, responsibilities, and reporting structure
5. Term and Probationary Period: Contract duration (unlimited/fixed-term) and probationary period details
6. Place of Work: Primary workplace location and any mobility requirements
7. Working Hours: Regular working hours, break times, and overtime provisions
8. Compensation: Base salary, payment schedule, and any guaranteed bonuses
9. Benefits: Statutory and company-specific benefits including insurance and pension provisions
10. Vacation and Leave: Annual leave entitlement, public holidays, and other leave provisions
11. Illness and Incapacity: Sick leave provisions and notification requirements
12. Confidentiality: Protection of company secrets and confidential information
13. Data Protection: GDPR compliance and handling of personal data
14. Notice Period: Notice requirements for termination by either party
15. Post-Employment Obligations: Return of company property and continuing obligations
16. Governing Law: Specification of German law as governing law
17. Severability: Standard clause on the validity of remaining provisions if others are invalid
1. Variable Compensation: Details of bonus schemes, commission structures, or profit-sharing - include for sales roles or management positions
2. Non-Competition: Post-contractual non-compete provisions - include for senior positions or roles with access to sensitive information
3. Intellectual Property: IP assignment provisions - include for creative or technical roles
4. Travel Requirements: Business travel expectations and compensation - include for roles requiring regular travel
5. Remote Work: Home office or remote working arrangements - include if applicable
6. Company Car: Terms of company car usage - include if a company car is provided
7. Training Commitments: Required training and potential repayment clauses - include for roles with significant training investment
8. Stock Options/Employee Shares: Details of any share schemes - include if equity compensation is offered
1. Schedule 1 - Job Description: Detailed description of role, responsibilities, and requirements
2. Schedule 2 - Compensation Details: Detailed breakdown of salary components and benefits
3. Schedule 3 - Company Policies: Reference to or summary of key company policies
4. Schedule 4 - Data Privacy Notice: Detailed information about personal data processing
5. Appendix A - Code of Conduct: Company's code of conduct and ethical guidelines
6. Appendix B - IT Security Policy: Rules and guidelines for IT system usage
7. Appendix C - Variable Compensation Plan: Detailed bonus or commission calculation rules if applicable
8. Appendix D - Company Car Policy: Details of company car usage and maintenance if applicable
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