Violation of the disclosure principle

Sec. 1 (1) sen­tence 5 of the Law on Tem­po­rary Employ­ment (AÜG, Arbeit­nehmerüber­las­sungs­ge­setz) stip­u­lates that all cas­es which Ger­man law defines as tem­po­rary employ­ment must also be con­trac­tu­al­ly des­ig­nat­ed as tem­po­rary employ­ment.

If exter­nal per­son­nel are assigned and Ger­man law defines this as tem­po­rary employ­ment, but the par­ties to the con­tract do not des­ig­nate it as such, this is then deemed to con­sti­tute so-called con­cealed tem­po­rary employ­ment.

Con­cealed tem­po­rary employ­ment can be pun­ished by fines of up to €30,000. Fur­ther­more, there is a risk that a license to oper­ate a tem­po­rary employ­ment agency that has already been issued will be revoked.