Mutual agreement to terminate employment

Sometimes, an employment relationship reaches a point where it cannot continue, and separation from the employer becomes inevitable. This can sometimes occur with the help of a termination agreement. This essentially represents the opposite of an employment contract: employer and employee agree to end the employment relationship, usually by mutual consent and with immediate effect.

This agreement must be concluded in writing and defines the terms of termination, whether severance pay is provided, and what happens, for example, with overtime or outstanding vacation days. A termination agreement is also used to circumvent dismissal protection and can enable both employees and employers to achieve a faster release from the current employment contract. A termination agreement generally requires a period of reflection. Should one of the parties insist on immediate signing, courts usually consider the agreement invalid.

In any case, employees should be particularly cautious with termination agreements and examine them closely. What may seem attractive at first glance can often lead to significant disadvantages for you as an employee. As an employee, you should never enter into a termination agreement without prior legal advice, also to avoid legal consequences such as waiting periods for unemployment benefits from the employment agency and other issues.

If you are considering a termination agreement or have received a proposal from your employer, please contact us. An employment law attorney in Nuremberg will review it for you!

• Do you wish to terminate your employment with your employer?
• Have you been presented with a termination agreement for signature?
• Do you wish to reach an amicable agreement with your employer beforehand?
• Do you fear problems with the employment agency (offsetting of severance pay against unemployment benefits or imposition of a waiting period)?

Process and Support

• Initial consultation, including discussion of the next steps with your employer. 
• In-depth consultation after determining individually set objectives.
• Agreement on the payment of severance pay in exchange for the termination of the employment relationship.
• Numerous other points can be agreed upon, such as release from duties, compensation for unused vacation, outstanding wage claims, and employment references.
• Drafting a termination agreement, taking into account legal principles.
• Avoiding legal proceedings by structuring an amicable, out-of-court solution.

Goals and Prospects of Success

• Avoiding costly proceedings before the labor court while simultaneously protecting economic interests.
• Prompt resolution of legal uncertainty.
• Avoiding the offsetting of severance pay against unemployment benefits or the imposition of a waiting period.

Time Commitment and Duration of Proceedings

• Consultation and representation are available at any time and on short notice.
• Review of a termination agreement possible on short notice.
• Negotiations in the out-of-court realm can usually be concluded within a few weeks.

Costs and Fees

• An initial consultation for consumers is available for a maximum of Euro 190.00 plus statutory value-added tax.
• Further, including written, consultation and representation depending on the scope, complexity, and significance for the client.
• Fair flat fees are offered for an early assessment of the cost risk.
• Out-of-court and in the first instance, no cost reimbursement is possible; each party bears its own attorney's fees.