News & Analysis as of

Severance Pay Germany

Latham & Watkins LLP

German Federal Labour Court Rules on Virtual Share Options and Exit Bonuses

Latham & Watkins LLP on

The German Federal Labour Court has tightened its case law. According to a decision from 19 March 2025 (10 AZR 67/24), the reasons for which were only recently published, employees may be entitled to an exit bonus even if the...more

Fisher Phillips

Las indemnizaciones por despido en Alemania: Mitos, Realidades y Acciones

Fisher Phillips on

Aunque muchos lo desconocen, los empleados en Alemania no tienen en automático un derecho a una indemnización por despido. Sin embargo, la ley ofrece oportunidades para obtenerla bajo ciertas condiciones. Este artículo...more

Fisher Phillips

Demystifying Severance in Germany: Key Strategies for Smooth Exits

Fisher Phillips on

Navigating severance in Germany can be challenging for U.S. employers, as it involves strict legal frameworks, works council negotiations, and potential financial risks. While severance pay isn't automatically guaranteed,...more

Fisher Phillips

Despidos en Alemania: Guía legal para empresas provenientes de los Estados Unidos

Fisher Phillips on

Descubre los aspectos esenciales del proceso de despido en Alemania en nuestra guía legal para empresas estadounidenses. Conoce las estrictas leyes laborales, desde la necesidad de razones válidas para despedir hasta la...more

Fisher Phillips

Mastering Employee Terminations in Germany: A Practical Guide for U.S. Employers

Fisher Phillips on

Navigating Germany's strict termination and severance rules can be daunting for U.S.-based companies. Unlike in the U.S., German law requires valid reasons for termination, formal warnings, and strict adherence to notice...more

Littler

Germany: Optimizing Severance Pay to Finance Early Retirement

Littler on

Little known and therefore little used in Germany is the option of providing pension contributions instead of severance pay. If an employee has plans to retire early, or if a mutually agreed termination of the employment...more

Littler

GERMANY: COVID-19 (Coronavirus) – Employer FAQs

Littler on

The spread of the novel coronavirus (COVID-19) across the globe remains a significant concern in the workplace. Employers are confronting difficult questions regarding how to handle safety and health rules, travel...more

Orrick, Herrington & Sutcliffe LLP

Orrick's 101- Legal Q&A | Termination Of Employment

In Germany, employees enjoy rather strong protection against termination of employment. Additionally, there are some form requirements employers must observe. This Q&A two pager gives a basic overview of the termination...more

Jones Day

Brexit and German Employment Law—A New Type of Interaction

Jones Day on

The Background: In an effort to benefit from Brexit, Germany is looking at ways to attract financial institutions and reduce their fears of excessive employee termination protections in Germany. The Situation: The German...more

Littler

Germany: News on Disqualification Periods Following Termination Agreements

Littler on

In Germany, employees frequently refuse to sign separation agreements for fear that the Employment Agency (Agentur für Arbeit) will disqualify them from receiving unemployment benefits. A revision of the Employment Agency's...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

At Will? What’s That?

Did you know that employees in most countries outside the United States have a contractual right to continued employment, whether or not they have written contract? If an employer does not provide an employee with a written...more

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