Germany attracts expats with career growth prospects and a high standard of living. However, when planning employment in another country, it is necessary to study the local legislation in detail. Understanding the procedure for terminating an employment contract is an important stage of work. Find out under what circumstances you can be fired by your German employer and how it happens

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The prospect of being fired worries every employee, but understanding your rights will help you feel more protected. What to do if a German employer decides to fire you? How to resign at your own will? We tell.

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Can an employer in Germany fire an employee without reason?

German law protects employees against unjustified dismissal. If you work for the company for more than 6 months, you cannot be fired just like that. In this case, the employer may terminate the employment contract for one of the following reasons:

- Operational reasons – if your company is making less profit and can no longer pay wages to all employees.

- Employee Conduct – You may be fired for cheating or stealing from your employer. Harassing or insulting colleagues, being absent from the workplace without a good reason, surfing the Internet at work, or violating company rules are also grounds for terminating the employment contract.

- Personal reasons – if you are no longer able to do your job due to your personal condition or situation, you may be made redundant, for example if you are ill for a very long time or if you lose your work permit.

Importantly! Employers do not have the right to fire you because of your age, gender, sexual orientation, religion, origin, etc.

The procedure for terminating an employment contract in Germany

To terminate an employment contract, the employer must fulfill a number of the following conditions:

- Notify the employee in writing about dismissal.

- Comply with the notice period before dismissal (“Kündigungsfrist”). Usually, the period during which it is necessary to notify the employee about dismissal is specified in the employment contract. If there is no such information in your contract, then the general rules will apply to you: the longer you work, the longer the notice period.

- If the organization has a labor council, it must also be notified before dismissal.

An employer may dismiss an employee without notice, but only if there are good reasons for this. For example, if you robbed him or insulted him publicly (including on social networks). This procedure is called extraordinary or “außerordentlich Kündigung”.

Dismissal during the probationary period

A probationary period is a period in which the employer and employee get to know each other in an almost informal setting. Therefore, during this period, both parties can terminate the employment relationship without special reasons and with a short notice period.

The duration of the trial period is specified in your employment contract. A probationary period of more than six months is permitted only in exceptional circumstances.

Release by consent of the parties (“Aufhebungsvertrag”)

Many German companies, instead of regular dismissal, offer their employees dismissal by agreement of the parties. That is, the employer and the employee jointly agree on the terms of termination of the employment contract. Severance agreements often include workers' compensation, but in this case, the individual loses protection upon termination and risks reduced unemployment benefits.

Once such an agreement is signed, it cannot be canceled or contested in court. Therefore, it is important to carefully consider the agreement on termination of the contract by agreement of the parties, it is better to consult a lawyer before signing.

Can members of the works council be dismissed?

If you are a member of the works council, you can only be fired in extraordinary circumstances, such as when the entire company closes down. In case of extraordinary dismissal, the consent of the labor council or the labor court is required.

How to prevent illegal dismissal in Germany?

If your employer did not comply with all the formalities at the time of dismissal, for example, violated the notice period or the reason for dismissal is inadequate, consult a lawyer. The specialist will help you prepare a so-called dismissal protection claim (“Kündigungsschutzklage”) and will also tell you about your rights.

The main thing is to react quickly. After receiving the notice of termination, you have only three weeks to file a lawsuit against it.

What to do after you have been fired in Germany?

You must visit the German employment service within three days after receiving the notice of dismissal and report the dismissal. If you apply too late, you risk losing unemployment benefits.

As soon as you become unemployed, i.e. no later than the first day after the termination of the employment contract, you must contact the local employment agency. Only after that you can get unemployment benefits.

Voluntary dismissal

Each employee can resign at his own will, however, in this case, you must also notify the employer in advance about the termination of the employment contract. The exact period is usually indicated in your contract, if this information is not there, then the standard notice period is four weeks.

It is necessary to notify the employer about the dismissal in a letter.

Also note that if you quit voluntarily, you will not receive unemployment benefits for the first 12 weeks after you quit.

German law protects employees from sudden and unjustified dismissals. So now that you know more about your rights and procedures, you can feel more confident in the workplace

We will remind you that we talked about the employment procedure in Germany in 2024 in detail here.

Ihor Usyk - head of Visit World's legal department

When working abroad, expats often have various legal issues, because the legislation of each country is special. Consulting a specialist will help you understand all the intricacies of labor law. A labor and business lawyer is your reliable assistant in solving simple and complex issues in any corner of the world.

Products from Visit World for a comfortable trip:

Checklist for obtaining a visa and necessary documents in Germany;

Legal advice on business issues in Germany;

Travel insurance for foreigners in Germany;

Medical insurance around the world.