Work, Trade Unions and Employment Law in Germany

Employees and employers

Most people in work in Germany are employed by a company or a public authority. According to the Federal Statistical Office (Destatis), around 42.2 million people were employees in 2025. Around 3.7 million were self-employed.

Employees make their labour available and receive wages or a salary in return. The employer is the company, authority or organisation that employs them.

Trade unions and the works council (Betriebsrat)

Trade unions are associations of employees. They represent employees' interests in dealings with employers. For example, they negotiate collective agreements on pay and working hours and help members with conflicts at work.

Within a company, the works council represents the staff. If you have a problem with your employer, you can bring a complaint to the works council. If it considers the complaint justified, it tries to find a solution with the employer.

Dismissal and the labour court (Arbeitsgericht)

Anyone who gives notice must observe the applicable notice period. It is set out in the employment contract, in the collective agreement or in the law. The statutory basic periods are regulated by § 622 of the Civil Code.

Nobody may be dismissed for unlawful reasons. If you think a dismissal is unjustified, you can bring an action against it at the labour court. As a rule, a deadline of three weeks applies from receipt of the written dismissal. That is why you should seek advice immediately.

The labour court decides disputes between employees and employers arising from the employment relationship.

Pregnancy must not be a reason for dismissal. The Maternity Protection Act in principle prohibits dismissal during pregnancy if the employer knows about it or is informed in good time. Only very narrow exceptions with official approval remain possible.

Protection from discrimination

The General Equal Treatment Act protects people at work. It prohibits disadvantage on grounds such as sex, ethnic origin or disability. This applies as early as the job application.

Typical examples of an impermissible rejection are:

• A suitable applicant is not hired because he uses a wheelchair.
• A suitable applicant is not hired because of his dark skin colour.
• A woman applicant is rejected solely because she is a mother. As a rule, this disadvantages her because of her sex.

Good reasons for a rejection, by contrast, are professional suitability, qualifications and experience. Religion, sex or party membership are not professional qualifications.

Vocational training, further training and careers advice

Good vocational training improves the chances of a qualified, well-paid job. Occupations change quickly, for example through new technology and digitalisation. That is why adults also have to keep learning after their vocational training.

The Career Information Centre (BiZ) belongs to the Federal Employment Agency (Bundesagentur für Arbeit). There you can find information about occupations, vocational training and applying for jobs. It also helps with the search for a training place.

What is deducted from your salary

In permanent employment, income tax and social insurance contributions are deducted from your gross salary. These include contributions to pension, health, long-term care and unemployment insurance.

Value added tax, by contrast, is not paid out of your salary. It is included in the price of goods and services and, in economic terms, is borne by the buyers when they shop.

SourcesEckzahlen zum Arbeitsmarkt - Statistisches Bundesamt↗Mitglied in der Gewerkschaft werden - Deutscher Gewerkschaftsbund↗Arbeitsgerichtsgesetz↗Bundesministerium der Justiz: § 1 AGG – Ziel des Gesetzes↗Bundesagentur für Arbeit: Das Berufsinformationszentrum (BiZ)↗