Severance pay

The most important thing first: There is no general legal entitlement to severance pay in the event of termination. The law only provides for severance pay claims in the case of Section 1a of the KSchG (see Rn 2 ff), in the case of a dissolution judgment according to Sections 9 and 10 of the KSchG (see Rn 10 f), in the case of a social plan (see Rn 22 f) or as a claim for compensation for disadvantages according to Section 113 of the BetrVG (see Rn 24 f)...

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Compensation clause

A compensation clause is usually included in a termination agreement or a court settlement. It often states that all financial claims arising from the employment relationship and upon its termination are settled...

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Warning

A warning does not have to be in writing. However, the employer must prove that the warning was received. An effective warning requires that the violation of conduct is mentioned, that the employee is asked to comply with the rules and that consequences under employment law are threatened in the event of a repeat violation...

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Department closure

A DISCONTINUATION FOR OPERATIONAL REASONS does not only include the closure of an entire company or a branch, but also the closure of a department. The legality of the dismissals is then subject to the same conditions as a DISCONTINUATION FOR OPERATIONAL REASONS...

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Settlement agreement

In a settlement agreement, a termination has usually already been announced. The settlement agreement contains details of how you and your employer part ways. In contrast, a TERMINATION AGREEMENT usually contains the termination and the settlement of the employment relationship. 

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