German Employment Contract Guide
What to check before you sign: probation, notice periods, vacation entitlements and the clauses people skip.
A German employment contract (Arbeitsvertrag) looks straightforward on the surface, but a handful of clauses are worth reading closely before you sign, especially if this is your first one.
Probezeit: The Probationary Period
Most contracts include a Probezeit of up to six months, during which either side can usually end the contract with just two weeks' notice, regardless of what the standard notice period becomes afterward. It's not a red flag on its own; it's standard practice. What's worth checking is the exact length, and whether it affects anything else, like eligibility for a bonus.
Notice Periods: Shorter at First, Longer With Tenure
Statutory notice periods extend automatically the longer you stay with an employer, under §622 of the German Civil Code (BGB): four weeks at the start, growing to one, two, then several months after a handful of years. Some contracts shorten or extend these within legal limits, so compare what's written against the statutory baseline rather than assuming they match.
Vacation Entitlement
The legal minimum under the Bundesurlaubsgesetz is 20 days a year for a standard five-day work week, but most employers offer more, often 25 to 30. Check whether unused days carry over into the next year, since many contracts set a narrow window, commonly the end of March, after which they're forfeited.
Clauses Worth a Second Read
- Salary structure: whether Urlaubsgeld (holiday pay) and Weihnachtsgeld (a year-end bonus) are contractual or discretionary, since that changes what you can count on.
- Overtime: whether it's compensated, banked as time off, or already assumed to be included in your salary (Überstunden pauschal abgegolten), a clause worth questioning if it appears.
- Non-compete clauses (Wettbewerbsverbot): rare for junior roles but worth checking for, especially in competitive industries.
- Probation-linked benefits: some perks only activate once the Probezeit ends, which matters for budgeting your first months.
None of this needs to be read alone. Reviewing an offer letter or contract is part of what GSA Career™ covers once you're negotiating, so you know which clauses are standard and which are worth pushing back on.