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ARTICLE · 02 DECEMBER 2015

New Legislation Adjusts Temporary Employment And Contracts For Work And Labour

On 16 November 2015, Germany's Federal Minister of Labour introduced draft legislation to reform temporary employment and contracts for work and labour.

GermanyEmployment and HR

On 16 November 2015, Germany's Federal Minister of Labour introduced draft legislation to reform temporary employment and contracts for work and labour. The planned modifications intend to focus on the core function of temporary employment (covering peak workloads) and to prevent abuse in the creation of contracts for work and labour. While amendments to this draft bill are likely, a final version is expected to come into force on 1 January 2017. The most important elements of the draft bill are summarized below.

How long will an employer be able to use temporary employees in the future?

A significant element of the draft imposes an 18-month limitation on the maximum loan period for deploying temporary employees to another company. Temporary employees are those who are made available by their employer (the lending company) to another company (the user employer) for a certain period of time. Once the new law takes effect, the user employer will be required

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