Category: Arbeitsrecht

The Federal Labor Court (BAG) has confirmed in a recent decision that employers may reduce bonus payments proportionately if an employee has taken parental leave during the bonus period. The decision clarifies how performance-related variable remuneration is to be treated in the context of the statutory suspension of the employment relationship and raises important questions for company practice. The BAG ruling: No entitlement to full

The Federal Labor Court (BAG) has ruled (case no. 5 AZR 118/23) that part-time employees are entitled to overtime bonuses as soon as they exceed their individually agreed working hours. It is not permissible to only pay the bonus once the working hours of a full-time employee have been reached. The BAG has thus rejected a widespread practice in collective agreements and company regulations. Why

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

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