ARTICLE · 04 MAY 2016

"Temporary Employees" In Germany Need To Be Temporary Under New Draft Law

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Draft legislation regarding the reform of the German Act on the Supply of Temporary Employees (Arbeitnehmerüberlassungsgesetz – AÜG) has been introduced by Germany's Federal Minister of Labor.

GermanyEmployment and HR

André Zimmermann LL.M.

Louisa Kallhoff

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Draft legislation regarding the reform of the German Act on the Supply of Temporary Employees (Arbeitnehmerüberlassungsgesetz – AÜG) has been introduced by Germany's Federal Minister of Labor. Although further amendments to this draft are likely and a final version will not come into force before January 1, 2017, it is important to know what this means for temporary employment agencies and their customers, the host businesses.

Introduction of a maximum hire term of 18 months

According to the draft bill, the hirer of temporary employees will be required to terminate the deployment of the temporary employee after 18 months. Hire times prior to January 1, 2017 shall be expressly excluded.

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