Deutschland Kompass
STEP

Arbeitsvertrag: Reviewing Your Employment Contract

Check the key clauses before signing: probationary period, salary, holiday, and non-compete clause.

WHAT TO DO

What is it and when to act?

The Arbeitsvertrag is the legal foundation of your employment. Only sign after reading it carefully. German employment law protects workers — but only if you know your rights and haven’t agreed to anything harmful.

What to check before signing

  1. Bruttogehalt — the amount before deductions (tax and social contributions take roughly 40%)
  2. Probezeit — maximum 6 months, usually 3
  3. Urlaubstage — by law minimum 20 days (5-day week); market standard is 25–30
  4. Arbeitszeit — standard 40 hrs/week; overtime must be compensated or paid
  5. Wettbewerbsverbot — compensation of ≥50% of salary is mandatory

Common mistakes

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Max recommends:

I signed the Wettbewerbsverbot without understanding it. When I moved to a start-up my former employer sent a formal warning. The restriction lasted 12 months. The lawyer cost €2,000. Read §74 HGB before signing anything.

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Lea recommends:

I didn't check whether commuting time counted as working time. It doesn't — 2 hours a day don't count. Home-office arrangements or commute compensation need to be negotiated separately.

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FREQUENTLY ASKED QUESTIONS

How long is the standard probationary period in Germany? ▾

Under §622 BGB: maximum 6 months, usually 3. During the Probezeit, either side can give 2 weeks' notice. After that, the statutory notice period applies: 4 weeks to the 15th or end of the month for the first 2 years of employment.

What is the Wettbewerbsverbot and should I sign it? ▾

A non-compete clause bans you from working for competitors after leaving (up to 2 years). To be legally valid, the employer MUST pay compensation — at least 50% of your last gross monthly salary per restricted month (§74 HGB). Without compensation, the clause is unenforceable.

Must the employment contract be in writing? ▾

Since 2022 (NachweisG): yes — the employer must provide written confirmation of employment terms no later than the first working day. In practice most companies sign a full contract in advance. Ask for it before you start.

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