BAG on the electronic provision of payslips
On January 28, 2025, the Federal Labour Court (BAG) ruled that employers may provide their employees with pay slips in electronic form. Pursuant to Section 108 (1) sentence 1 of the German Industrial Code (GewO), employers are obliged to provide a payslip in text form when paying wages. This obligation can also be fulfilled by providing the payslip as an electronic document in a password-protected digital employee mailbox.
Requirements for the electronic provision of payslips
The following conditions must be met for the electronic transmission of payslips:
- Text formThe statement must be in text form in accordance with § 126b BGB, which also includes electronic documents.
- Access securityElectronic payroll accounting must be provided in a password-protected digital employee mailbox to ensure the confidentiality and protection of personal data.
Advantages of electronic payroll accounting
The switch to electronic payroll accounting offers several advantages for both employers and employees:
- Increased efficiencyReduction of administrative effort and costs by eliminating physical shipping.
- Environmental friendliness: Saving paper and resources.
- Faster accessEmployees can access their accounts at any time and from any location.
Data protection aspects
When providing payslips electronically, the data protection provisions of the General Data Protection Regulation (GDPR) must be observed. This includes in particular
- Ensuring confidentialitySuitable technical and organizational measures must be taken to ensure that unauthorized persons do not have access to the accounts.
- TransparencyEmployees should be informed about the changeover to electronic payroll accounting and their rights.
Conclusion
The BAG's decision enables employers to provide payslips electronically, provided the legal requirements are met. This can lead to more efficient and environmentally friendly payroll processing. However, employers should ensure that data protection regulations are complied with and that employees are adequately informed.
