In Germany, remuneration of managers in general has increasingly come into public and political focus.
Over the last years, the German legislator enacted several law reforms concerning managers’ pay. Very recently, the German Banking Act (Kreditwesengesetz “KWG”) was amended effective January 2014, to provide for further restrictions on bonus payments for managers and employees in the banking industry. A reform of the German Stock Corporation Act (Aktiengesetz “AktG”) however, shifting the authority of determining the remuneration of board members to the shareholders’ meeting was stopped, but presumably only for the time being. Read More
Welcome to the Fall 2013 edition of Orrick World: A Quarterly Report of Global Employment Law Issues for Multinationals. We have designed this newsletter to provide our multinational clients with quarterly updates on important employment law issues across the globe. Read More.
July 29, 2013 was a big day for employment law in the UK.
Firstly compromise agreements were renamed ‘settlement agreements’. This is largely a rebranding exercise but one that is welcome as we now have a title which more accurately describes what the agreement is designed to achieve.
On this same date, changes around ‘pre-termination discussions’ came into effect. These changes are contained in the Enterprise and Regulatory Reform Act and talk about ‘confidentiality of negotiations before termination of employment’. The theory behind this new law is that employers should be able to discuss with their employees the option of the employee leaving with a settlement agreement without the risk that that discussion itself will be used against them in a future claim. Read More
TODAY is a big day for employment law. Even though many of you will be thinking about your holidays, or may have even jetted off to sunny shores, take care to remember that certain changes are taking place which will affect your standard document and how you handle any exiting employees. Read more.
The German Federal Labor Court (Bundesarbeitsgericht) recently passed a decision (BAG, November 11, 2012 – 6 AZR 339/11) that dealt with an “evergreen” of German labor law: What questions employers may ask in interviews with job applicants and what questions are not allowed to be asked. Read More
A recent case in the UK Employment Appeals Tribunal Woodhouse v. West North West Homes Leeds Limited UK EAT/0007(12) has looked at whether it is possible to fairly dismiss an employee who has raised repeated grievances, on the basis that the relationship with the employer has irretrievably broken down. Read More
Welcome to the Spring 2013 edition of Orrick World: A Quarterly Report of Global Employment Law Issues for Multinationals. We have designed this newsletter to provide our multinational clients with quarterly updates on important employment law issues across the globe.
Recently, the German Federal Labor Court (Bundesarbeitsgericht “BAG”) rendered a decision which had been awaited with interest by German employers (BAG, April 25, 2013 – 8 AZR 287/08) with regard to information rights of rejected job applicants. Read More
After twice rejecting the Government’s proposals, the House of Lords has just finally voted to accept the much argued Clause 27 of the Growth and Infrastructure Bill, thereby paving the way for new legislation that will create a third type of UK employment status—Employee Shareholder. Read More
German companies rely heavily on temporary workers. Due to fundamental legislative reforms in the mid-2000s, it is possible to pay temporary workers a salary which is below the salary of comparable permanent staff. Therefore, the use of temporary workers provided by HR service providers is a cost effective way for German companies to flexibly adjust their workforce to the current demand of labor. However, in recent years, several High Court decisions have strengthened the rights of temporary workers. In the last months the Federal Labor Court (Bundesarbeitsgericht “BAG”) has issued several important decisions which aim to further improve the rights of temporary workers and also affect companies using the services provided by temporary workers. German companies who employ temporary workers should be aware of these important new developments. Read More