Written Contract Of Employment for Germany

Written Contract Of Employment Template for Germany

A German employment contract (Arbeitsvertrag) is a legally binding agreement that establishes an employment relationship under German labor law. This document outlines the essential terms and conditions of employment as required by the German Documentation Act (Nachweisgesetz), including position details, remuneration, working hours, leave entitlements, and notice periods. The contract ensures compliance with German federal labor laws while protecting both employer and employee interests. It incorporates mandatory provisions from various German employment regulations and can be customized to include additional terms specific to the role or industry while maintaining compliance with German legal requirements.

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What is a Written Contract Of Employment?

The Written Contract Of Employment under German law serves as the primary document formalizing the employment relationship between an employer and employee in Germany. This contract is mandatory under German law, with the Nachweisgesetz requiring essential employment terms to be documented in writing within one month of employment commencement. The document captures all fundamental aspects of the employment relationship, including position, compensation, working hours, and leave entitlements, while ensuring compliance with German labor regulations such as the Civil Code (BGB), Working Hours Act (ArbZG), and Protection Against Dismissal Act (KSchG). It provides legal certainty for both parties and serves as a reference point throughout the employment relationship, particularly in cases of disputes or questions about employment terms.

What sections should be included in a Written Contract Of Employment?

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

2. Background: Brief context of the employment relationship and any relevant preliminary agreements

3. Definitions: Key terms used throughout the contract

4. Position and Duties: Job title, description of role, responsibilities, and reporting structure

5. Commencement and Duration: Start date, probationary period if applicable, and type of contract (indefinite/fixed-term)

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

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

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

9. Leave Entitlement: Annual leave, public holidays, and other types of leave

10. Sick Pay: Sick leave and continued payment of wages during illness

11. Notice Period: Notice requirements for termination by either party

12. Confidentiality: Protection of company secrets and confidential information

13. Data Protection: Handling of personal data in compliance with GDPR

14. Governing Law: Confirmation of German law application and jurisdiction

15. Signatures: Execution section for both parties

What sections are optional to include in a Written Contract Of Employment?

1. Variable Compensation: Details of bonus schemes, commission structures, or profit-sharing - include when role has performance-based pay components

2. Company Car: Terms of company car provision and usage - include when a company car is provided

3. Non-Competition: Post-contractual non-compete obligations - include for senior positions or when dealing with sensitive information

4. Intellectual Property: Assignment of IP rights - include for creative, technical, or research positions

5. Remote Work: Terms and conditions for working from home or remote locations - include when remote work is permitted

6. Training Obligations: Required training and potential repayment clauses - include when significant training investment is involved

7. Benefits: Additional benefits such as pension, health insurance, or meal allowances - include when offering benefits beyond statutory requirements

8. Travel: Travel requirements and expense policies - include for positions requiring regular travel

What schedules should be included in a Written Contract Of Employment?

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

2. Bonus Scheme: Detailed rules and calculations for variable compensation

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

4. Data Privacy Notice: Detailed information about personal data processing as required by GDPR

5. Company Car Policy: Detailed terms and conditions for company car usage

6. IT Usage Policy: Rules and guidelines for using company IT systems and equipment

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 | Serial Founder & Legal AI Author

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Agreement Between Company And Employee

German law-compliant employment agreement establishing terms and conditions between employer and employee, incorporating essential protections under German labor legislation.

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What is a Written Contract Of Employment?

What sections should be included in a Written Contract Of Employment?

What sections are optional to include in a Written Contract Of Employment?

What schedules should be included in a Written Contract Of Employment?

Authors

Alex Denne

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