Reasons for denial of a license to operate a temporary employment agency (part II)

In addition to the ‘usual’ grounds for denying the license to operate a temporary employment agency (read more…), reasons for denying the license can already exist when the application for the license to operate a temporary employment agency is submitted for the first time:


Incorrect application documents

If the applicant submits application documents which are intentionally or negligently incorrect, this can cause the Federal Employment Agency (Bundesagentur für Arbeit) to deny the license from the very beginning.


Straw man

If the managing director of a temporary employment agency has appointed a straw man, the decisive element is not the reliability of this straw man, but of the person represented by him. If the person behind the straw man was already denied a license, the Federal Employment Agency will usually also deny the license to the straw man.


Violations of law

If the applicant was convicted of property crimes, such as fraud, committed in the past, this may be an indication of a lack of reliability.

Particularly relevant in this respect are cases where the applicant has already come into conflict with regulations that serve to protect employees.

Example: An applicant was already fined for violating the Working Hours Act in his company. In this case, a detailed statement to the Federal Employment Agency is often required in order to explain why the applicant has the necessary reliability despite these violations.


See Part I and Part III for more reasons that can lead to denial of the license to operate a temporary employment agency.