Adaptation needs for employers

Reminder! On 01.08.2022, important amendments to the German Verification Act (NachwG) came into force as part of the national implementation of the EU Directive on Transparent and Foreseeable Working Conditions (2019/1152). Due to these changes, there are extended information obligations when hiring new employees.

What’s changed?

The information must be recorded in writing and handed over to the new employee. Employers can implement this as part of the employment contract or through a separate letter. Among other things, the following working conditions must also be recorded in writing:

  • the composition and amount of pay, including overtime pay, allowances, bonuses and special payments, and any other components of pay,
  • the agreed working hours, rest breaks and rest periods, and in the case of shift work, the shift system, the shift rhythm and the conditions for shift changes,
  • the possibility, if any, of ordering overtime and the conditions for such overtime,
  • the procedure to be followed by the employer and the employee in the event of termination of the employment relationship,
  • a reference to the applicable collective agreements, works agreements and service agreements,
  • any entitlement to in-service training or occupational pension schemes,
  • the end date or expected duration in the case of fixed-term employment relationships.

Do the changes only apply to those who signed a contract after 01.08.2022?

Employees with whom an employment contract already existed before 01.08.2022 can also request their employer to provide the prescribed information.

What are the consequences for the employer?

Violations may result in fines of up to EUR 2,000.00.

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