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22.03.2023 | KPMG Law Insights

Podcast series “KPMG Law on air”: Current topics in employment law

Employer’s obligation to record working time – BAG, decision dated 13.09.2022 – 1 ABR 21/22

All employers are required to implement a system for recording working hours. This decision by the German Federal Labor Court caused quite a stir in 2022 and came as a surprise to both companies and lawyers. Dr. Stefan Middendorf and André Kock explain in the podcast how the decision came about and how it affects the world of work.

 

Excessive works council remuneration is punishable – BGH, judgment of 10.01.2023 – 6 StR 133/22

A large number of exempt works council members are paid more than they would be without the time off for voluntary work. This can now be the undoing of board members and authorized signatories. The Federal Court of Justice has ruled: Anyone who pays works council members excessive salaries may be liable to prosecution for breach of trust. Dr. Stefan Middendorf and André Kock describe in the podcast how companies should act as quickly as possible now.

 

Residual leave does not simply expire – BAG, judgments dated 20.12.2022 – 9 AZR 266/20 and 9 AZR 245/19

A tax clerk and a freight driver accumulated vacation entitlements over several years, which they then took to court. The employers invoked the statute of limitations and the forfeiture of the leave, respectively. The Federal Labor Court ruled in favor of the employees. This is because the employers should have actually enabled the employee:s to take their leave. The two legal experts reveal what this means in practice.

 

The core topics of the podcast are:

  • From minute 1:23: Ruling on the recording of working hours – details of the BAG ruling
  • From minute 3:05: Impact of the decision on the world of work
  • From minute 3:41: Requirements for a time recording system
  • From minute 5:52: What can happen if companies wait for the new law?
  • From minute 7:15: What the ruling means for trust-based working time
  • From minute 9:58: Remuneration of works councils – this is what the ruling was about
  • From minute 11:01: Why the ruling is relevant for many companies and what sanctions are threatened
  • From minute 12:18: What can and should companies do now in concrete terms?
  • From minute 14:03: What are the standards for assessing the correct level of works council compensation?
  • From minute 14:55: What did the BAG decide in the proceedings 9 AZR 266/20?
  • From minute 16:21: What were the reasons and to what extent does the previous case law change?
  • From minute 17:38: Background of the verdict
  • From minute 18:25: What was the parallel decision – 9 AZR 245/19 about?
  • From minute 19:08: What should employers do in light of the decisions?
  • From minute 20:04: Is a wave of lawsuits looming?

All “KPMG Law on air” episodes can be found here.

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Contact

Dr. Stefan Middendorf

Partner
Duesseldorf Site Manager

Tersteegenstraße 19-23
40474 Düsseldorf

tel: +49 211 4155597316
smiddendorf@kpmg-law.com

André Kock

Manager

Fuhlentwiete 5
20355 Hamburg

tel: +49 (0)40 360994-5035
andrekock@kpmg-law.com

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 KPMG International does not provide services to clients. No member firm is authorised to bind or contract KPMG International or any other member firm to any third party, just as KPMG International is not authorised to bind or contract any other member firm.

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