Termination of Employment chapter 3 de

National law – DE– Legal system – module 3

An employment agreement can be terminated either mutually or unilaterally, such as termination by agreement, expiry of a fixed period (eg reaching retirement age) or notification of termination. In principle, the employer and even specially protected employees are free to agree on the termination of the employment agreement at any time (a termination agreement). In order to be valid, any termination agreement must be in writing.

There are three different ways in the grounds for cancellation:

Three types (operational – betriebsbedingt, behavioural / breaking the rules of the contract – verhaltensbedingt, for reasons which are not based on bad behaviour such as a long illness– personenbedingt).

Legal basis of termination: German Employment Protection Act: Kündigungsschutzgesetz – KSchG

The requirements of an effective ordinary termination at a glance:

  • Only three-week period for filing suit (3 Wochen Klagefrist).
  • Employer must prove that you received notice.
  • Notice has to be written and signed by the employer – verbal notices are not valid.
  • If the employee is uncertain whether the signatory has legal power in this instance, she/he a maximum of five days to inquire.
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