The European Union (EU) in 2019 launched a civil law directive on transparent and predictable working conditions in the EU. The directive stipulates that the rights and obligations set out therein must apply to all employment relationships by August 1, 2022, at the latest. Although the directive has already been in existence for three years and it was therefore clear that it must be implemented in Germany by August 1, 2022, the German legislature has only now taken action, putting employers under considerable pressure to act.
The new law implementing the directive provides for numerous amendments to existing laws. At its core, however, are far-reaching changes to the Law on Proof of Essential Working Conditions (Record of Employment Act), which is the subject of this article.
Current legal situation
According to the current legal situation, employers must document the essential terms and conditions of employment (e.g., start of the employment relationship, place of work, remuneration, working hours, notice periods) in writing, sign the document and provide it to employees. The Record of Employment Act stipulates the strict written form requirement, i.e., a handwritten signature. Electronic form is expressly excluded.
Currently, employers fulfill this obligation in practice by concluding a written employment contract that contains the essential terms and conditions of the contract. However, the current Record of Employment Act does not provide for any sanctions in the...
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