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Termination and Dismissal


One of the principles of German employment law is the protection of the employee in order to prevent unfair dismissals. If a termination does not satisfy the statutory requirements the termination will be void and the employment relationship will have to be continued. Only in exceptional cases a court will decide that the employment relationship shall be terminated and that the employer is obliged to pay damages/ a redundancy payment.

It is not necessary to obtain the consent of the other party in order to terminate the employment contract. As long as the dismissal is valid the employment contract will be terminated even if the other party does not consent. However, a mutual agreement to terminate the employment contract is usually the best way for both parties.

There is not distinction between unfair dismissal or wrongful dismissal since in both cases the termination of the employment contact will be void and the employment relationship will be continued (at least in theory). Please refer to No. VI “Court Proceedings” for further information.

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