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SALARY PAYMENT IN Euro (EUR, €)
CONTRACT LANGUAGES German / English
PAYROLL TAX 20.66%
PAYROLL CYCLE Monthly
TIME TO HIRE 48 hours
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Germany
Employer-employee relationships in Germany are governed by various labor laws. Some of the most important relate to probation periods, mandatory notice periods, terminations, and severance pay.
Employers must give the employee a certain amount of time to give them notice of dismissal. During a 3 month probationary periods, an employer must give the employee a minimum of 2 weeks dismissal notice. The longer the employee has been with the company, the longer the dismissal notice is.
If an employee wants to resign, during the probation period the employee must give employer a minimum of 2 weeks notice. After probation, this goes up to 4 weeks notice.
In Germany, once an employee has passed the 6 month mark, they are protected by termination protection legislation (Kundigungsschutzgestez), meaning that they are indeed entitled to a severance payment. The calculation is gross monthly salary * 0,5 * years of service.
Your business can easily hire employees in Germany without opening a local entity. We handle local employment law, complex tax regulations, and international payroll in 180+ countries worldwide. All you need to do is focus on your business.
The most relevant legal document related to employment law in Germany are Federal legislation, collective bargaining agreements, work council agreements and individual contracts.
Yes you are allowed to terminate an employee during their probationary period. However, you must give them a minimum of two weeks notice in Germany
Employees are allowed to terminate employment during their probationary periods. However, they too must give you two weeks notice In Germany.
After the probationary period, notices will begin to increase. For example, after probation and before two years of employment, the notice period will increase to 1 month.
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Headquarters – Singapore
71 Robinson Road #13-153
Singapore 068895
+65 3105 1170
Skalitzer Str. 85/86
10997, Berlin
+49 30 3119 9653
1700 S. Lamar Blvd Suite 338
Austin, Texas 78704
+1 (737) 265-6065
See more locations
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