Simple Employment Agreement Template for Germany

A German Simple Employment Agreement (Einfacher Arbeitsvertrag) is a standardized employment contract that complies with German labor law requirements while maintaining clarity and accessibility. It incorporates all essential elements required by the German Documentation Act (Nachweisgesetz) and Civil Code (Bürgerliches Gesetzbuch), including terms of employment, remuneration, working hours, leave entitlements, and notice periods. This document serves as a foundational agreement between employer and employee, ensuring legal compliance while clearly outlining the rights and obligations of both parties under German employment law.

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What is a Simple Employment Agreement?

The Simple Employment Agreement (Einfacher Arbeitsvertrag) is designed for use in the German market when establishing standard employment relationships. This document is particularly suitable for small to medium-sized enterprises and straightforward employment arrangements where complex variable compensation or special conditions are not required. It includes all mandatory elements required by German law, including those specified in the Nachweisgesetz (Documentation Act) and relevant sections of the Bürgerliches Gesetzbuch (German Civil Code). The agreement covers essential aspects such as role description, working hours, compensation, leave entitlements, and notice periods, while ensuring compliance with German employment protection regulations. It serves as a foundation for establishing clear, legally compliant employment relationships in Germany.

What sections should be included in a Simple Employment Agreement?

1. Parties: Identification of the employer and employee with full legal names and addresses

2. Background: Brief context of the employment relationship and agreement purpose

3. Definitions: Key terms used throughout the agreement

4. Position and Duties: Job title, role description, and primary responsibilities

5. Commencement and Duration: Start date and type of contract (fixed-term or permanent)

6. Probationary Period: Length of probationary period and applicable notice periods during this time

7. Place of Work: Primary workplace location and any mobility requirements

8. Working Hours: Regular working hours, break times, and overtime arrangements

9. Remuneration: Base salary, payment schedule, and any guaranteed bonuses

10. Annual Leave: Vacation entitlement and public holiday provisions

11. Sick Leave and Pay: Sick leave entitlements and continued payment regulations

12. Notice Period: Notice periods for termination by either party

13. Confidentiality: Obligations regarding company secrets and confidential information

14. Data Protection: Handling of personal data and privacy regulations

15. Governing Law: Specification of German law as governing law

16. Signatures: Execution section for both parties

What sections are optional to include in a Simple Employment Agreement?

1. Variable Compensation: Details of bonus schemes, commission structures, or other variable pay elements

2. Company Car: Terms for provision and use of a company car if applicable

3. Non-Competition: Post-employment competition restrictions, only if specifically required and with compensation

4. Intellectual Property: IP rights assignment for roles involving creative or technical work

5. Remote Work: Provisions for working from home or other locations if applicable

6. Training Requirements: Mandatory training or professional development obligations

7. Stock Options: Details of any employee stock option or share schemes

8. International Travel: Terms for business travel and international assignments if required

What schedules should be included in a Simple Employment Agreement?

1. Job Description: Detailed description of role, responsibilities, and reporting lines

2. Compensation Details: Breakdown of salary components and benefits

3. Company Policies: Reference to or inclusion of relevant company policies and procedures

4. Benefits Package: Details of insurance, pension, and other benefits

5. Code of Conduct: Company's code of conduct and ethical guidelines

6. IT and Communications Policy: Rules for use of company IT systems and communication tools

7. Health and Safety Guidelines: Workplace safety procedures and requirements

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Germany

Publisher

Genie AI

Document Type

Employment Form

Cost

Free to use

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