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ARTICLE · 27 JANUARY 2025

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Temporary Agency Work: Contracts Finally Permitted In Text Format

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Germany's federal government adopted the Fourth Bureaucracy Reduction Act (Bürokratieentlastungsgesetz – BEG IV) after the third reading in parliament on 26 September 2024, thus taking a key step towards the digitalisation of personnel management.

GermanyEmployment and HR

1. New German Red Tape Reduction Act: Simplifications in employment law for companies

Germany's federal government adopted the Fourth Bureaucracy Reduction Act (Bürokratieentlastungsgesetz – BEG IV) after the third reading in parliament on 26 September 2024, thus taking a key step towards the digitalisation of personnel management (see our report after the first reading). As part of the German Evidence Act, the formal requirements are to be scaled back to allow companies to manage HR matters in a timely and efficient manner.

2. Amendments to the German Act on Temporary Agency Work

An important and long-awaited change to temporary agency work has been laid down in the first sentence of section 12(1) of the German Act on Temporary Agency Work (Arbeitnehmerüberlassungsgesetz/AÜG). The first sentence of section 12(1) of that Act will be amended to read that temporary work agreements between temporary work agencies and user undertakings no longer need to be in

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