Germany

• New Year's Day (National)
• Epiphany (BW, BY & ST)
• International Women's Day (BE)
• Good Friday (National)
• Easter Sunday (BB)
• Easter Monday (National)
• Labour Day (National)
• Ascension Day (National)
• Whit Sunday (BB)
• Whit Monday (National)
• Corpus Christi (BW, BY, HE, NW, RP, SL, SN & TH)
• Assumption Day (BY & SL)
• Day of German Unity (National)
• Reformation Day (BB, HH, MV, NI, SH, SN, ST & TH)
• All Saints' Day (BW, BY, NW, RP & SL)
• Repentance Day (SN)
• Christmas Day (National)

Working Hours

Employees can work up to 48 hours per week. It is generally forbidden to work on Sundays and public holidays.

Minimum Wage

From January 2024, blue-card holders must earn at least a minimum of €45,300 per annum, whilst blue-card holders in shortage occupations (known as ‘Mangelberufe’) must earn at least a minimum of €41,042 per annum.

Additional minimum salaries are applicable when individuals require a blue card to legally work in Germany. From 1^st January 2025, the applicable rates are as follows:

Category	Minimum Salary per Annum
Non-shortage occupation	€48,300
Shortage occupation (known as ‘Mangelberufe’)	€43,759.80
Young professionals (individuals who obtained their education qualifications in the three years prior to applying for an EU Blue Card)	€43,759.80
Specialists with extensive work experience	€43,470
Skilled Worker Permit / Local Hire Permit (aged 45 and older)	€53,130

Employee Tax

Annual income*	Tax rate
Up to EUR 9,984	0%
EUR 9,985 - 58,596	14%
EUR 58,597 - 277,825	42%
More than EUR 277,826	45%
Health insurance contribution (KV)	7.3%, on annual earnings of up to €66,150.
Additional TK health insurance contribution	0.6%
Pension insurance (RV)	9.3%, on annual earnings of up to €96,600.
Unemployment insurance (AV)	1.3%, on annual earnings of up to €96,600.
Long-term care insurance (PV)	2.4%*** 2.9% in Saxony***
Church tax**	0% - 9%

* Based on a single person’s income. Tax bands may be different for married couples.

** Based on declared religion and region of residence.

*** This rate is applicable to employees with no children. Contributions are less for employees with children, but vary depending on the number of children.

Bonuses

There are no statutory bonus schemes in Germany, but a 13th month salary is contracted in many collective bargaining agreements.

Employees may also be entitled to contractual bonuses or discretionary bonuses.

Employment contracts in Germany should be written in German.

From 1^st January 2025, employees in Germany will be able to sign an employment contract digitally and will not have to provide a wet signature for the contract to be valid. Previously, the employment contract had to be signed in wet signature/ink to be valid.

Contracts should include:

• Employer and employee details
• Start date
• Job title and responsibilities
• Workplace
• Working hours
• Salary and leave entitlement
• Contract length (if applicable)
• Notice period

Both indefinite and fixed-term contracts are permitted in Germany.

Annual Leave

Minimum of 20 days' paid holiday per year for those with a five-day work week, or 24 days for those with a six-day work week.

Sick Leave

Up to 6 weeks' paid sick leave per illness.

Parental Leave

• Maternity leave: at least 14 weeks' fully paid leave, taken six weeks before the birth and a compulsory eight-week period taken afterwards.
• Paternity leave: none.
• Parental leave: mothers and fathers can take up to 3 years' unpaid leave per child.

Termination Process

Employers and employees in Germany can terminate a contract provided they give notice and/or compensation in line with legal requirements.

Other grounds for termination include:

• Mutual consent
• Contract expiry
• Misconduct
• Redundancy

Employees can also end a contract by giving at least one month's notice.

Severance Pay

Severance pay is usually equal to the employee's gross monthly salary multiplied by years of service multiplied by factor X.

X is generally between 0.5 and 1.5 but may be lower or higher, depending on the circumstances.

Under a Mauve Group Employer of Record (EOR) solution, clients and their international workers benefit from access to Mauve’s Global Master Insurance Programme—a market-leading, unified corporate insurance system that connects all Mauve entities to two trusted providers. As part of our comprehensive global Employer of Record services, this insurance programme supports companies employing staff overseas by ensuring they meet local legal requirements while protecting their workforce.

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Policies include:

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