A comprehensive guide to the key components of an employment contract (Arbeitsvertrag) in Germany, with a customizable template

1. Essential Legal Requirements

According to the German Proof of Employment Conditions Act (Nachweisgesetz), the contract must include the following in writing no later than one month after employment begins:

• Names and addresses of both parties

• Start date of employment

• Job description and job title

• Workplace / work location

• Type of contract: permanent or fixed-term with an end date

• Salary, payment method and frequency (monthly/weekly)

• Agreed working hours

• Probation period and its duration

• Notice period for both parties

• Annual leave entitlement according to the Federal Vacation Act (BUrlG)

• Reference to collective agreements (Tarifverträge) or internal work rules, if applicable

2. Optional and Supplementary Clauses

• Overtime rules and compensation

• Night/holiday/weekend work allowances

• Commuting allowance or phone/internet allowance

• Confidentiality obligations

• Non-compete clause after contract termination

• Data protection obligations regarding customer data

• Exceptional termination rules

3. Employment Contract Template

Employment Contract / عقد عمل

between

Employer:
Muster GmbH
Musterstraße 1, 12345 Berlin

and

Employee:
Mr./Ms. [Full Name]
[Full Address]

§ 1 Start and Type of Employment

(1) Employment begins on [Date].
(2) The contract is concluded as a ☐ permanent / ☐ fixed-term contract until [Date].

§ 2 Job Description

The employee is hired as [Job Title]. Main duties include:

• [Task 1]

• [Task 2]

• …

§ 3 Workplace

The workplace is [Location(s)]. The employer may assign the employee to other reasonable temporary work locations in Germany or abroad.

§ 4 Working Hours

(1) Weekly working hours: [e.g., 38.5 hours].
(2) Distribution: [Mon–Fri, 08:00–17:00]. Overtime requires prior approval.

§ 5 Salary

(1) Monthly gross salary: [€ …].
(2) Payment on the last working day of the month to the following account: IBAN … / BIC … / Bank …

§ 6 Probation Period

(1) The probation period is [6 months].
(2) During this period, the notice period is 14 days.

§ 7 Annual Leave

The employee is entitled to [e.g., 24] days of paid annual leave per calendar year in accordance with the BUrlG.

§ 8 Termination

(1) After probation, the notice period is [4 weeks to the end of the month].
(2) Termination must be in writing.

§ 9 Confidentiality

The employee must maintain full confidentiality regarding all company matters and trade secrets.

§ 10 Non-Compete Clause

After the contract ends, the employee may not work for a direct competitor for [6 months].

§ 11 Miscellaneous

(1) Amendments require written form.
(2) Invalid clauses do not affect the remainder of the contract.

Berlin, [Date]

(Employer)

(Employee)

4. Tips for Customizing the Contract

• Check applicable collective agreements.

• Ensure compliance with GDPR.

• Consult a legal expert on employment law.

• Keep signed copies in the personnel file.

This guide helps you prepare a complete German employment contract that protects both parties.

Our editorial team strives for accuracy but does not replace professional legal advice.