Germany combines straightforward hiring with strong, procedure-heavy dismissal protection once an employee passes the qualifying threshold.
Hiring and probation
A probationary period of up to six months is common, during which shorter notice applies. Fixed-term contracts generally require written form and, beyond limits, a justifying reason.
The Kündigungsschutzgesetz
In establishments with more than ten employees, once an employee has more than six months’ service the Dismissal Protection Act (Kündigungsschutzgesetz) applies: a dismissal must be socially justified on conduct, personal or operational grounds. Where a works council (Betriebsrat) exists, it must be consulted before notice.
Notice, special protection and severance
Statutory notice periods scale with tenure (§622 BGB). Pregnant employees, those on parental leave, severely disabled employees and works-council members enjoy special protection. There is no automatic statutory severance — payments usually come via a settlement (Abfindung) or social plan.
For foreign employers
The works-council step and the social-justification test are frequent pitfalls. A verified German colleague can structure a compliant dismissal or settlement.
Thresholds and case law evolve — confirm with admitted German counsel.