The BAG clarified this in its ruling of October 23, 2025 (Ref. 8 AZR 300/24): If a woman earns less than a comparable male colleague for the same or equivalent work, this is sufficient to assume a gender-based pay disadvantage. In such cases, employers must prove why the pay differences are justified - otherwise there is a risk of additional claims. For
Our client letter is sent out monthly via our newsletter and contains upcoming tax dates as well as all kinds of tax tips and news. For our interested readers, we offer this information here for free download. Topics in December 2025 include: For all taxpayers: Payments into the maintenance reserve For real estate companies: No extended reduction in real estate ownership when the entire property is sold
In its ruling of October 30, 2025 (case no. 2 AZR 160/24), the Federal Labor Court (BAG) threw the previously frequently used rule of thumb for probationary periods in fixed-term employment contracts overboard. A fixed percentage of the fixed-term duration is no longer permissible. What does this mean for employers and employees? Why this ruling is relevant Until now, many courts and employers have
The new EU Pay Transparency Directive (Directive (EU) 2023/970) aims to reduce pay gaps between men and women and promote fair pay structures. From 2026 at the latest, companies in Germany will have to be much more transparent about how salaries are calculated and how remuneration develops. Employees will have significantly greater rights to information, while employers will have to fulfill new obligations and reporting requirements. New rights for
