Implementation of Working Conditions Directive - changes to contracts

With implementation of Directive (EU) 2019/1152 (“Working Conditions Directive”), the German legislator has amended the German Verification Act (Nachweisgesetz) with effect from 1 August 2022.

In particular there are new obligations to provide verification for the procedure to be followed by the employer and the employee when terminating the employment relationship, agreed rest breaks and rest periods, and changes to applicable collective bargaining agreements, works or service agreements.

Please note, under German law it is mandatory that the confirmation of the essential working conditions is signed in wet ink by the employer. Electronic signatures are explicitly excluded, even though the Working Conditions Directive allows the electronic form.

Breaches of the Verification Act can result in fines of up to 2,000 EUR each. Therefore, standard employment contracts should be reviewed and amended as necessary in good time.