AÜG Amendment Effective April 1, 2017

The amended German Temporary Employment Act (AÜG) hase come into effect today. This marks the third significant revision of the AÜG, following previous amendments in 2003 and 2011. Key changes include the introduction of an “equal pay" entitlement after nine months of assigment and the limitation of the maximum assignment duration to 18 months. 

There are also changes concerning disclosure and specification obligations: going forward, for instance, the written contract between the staffing agency and the client must explicitly be labeled as an “employee leasing agreement” before the assignment begins. 

Thomas Hetz, Chief Executive Officer of the German Federal Employers´ Association of Staffing Services (BAP), commented on the impact of the legislative changes: “With the introduction of the amended regulations in temporary employment, effektive April 1 2017, labor market flexibility is significantly reduced, which in turn slows down the German econonmy. These renewed restrictions are counterproductive not only für staffing agencies and client companies but also, and especially, für temporary workers. Nevertheless, the temporary employment sector will adapt to the new legal framework, as the industry has repeadtedly demonstrated its flexibility.” 

Source: German Federal Employers´ Association of Staffing Services (BAP)