Frontline Germany

By Thomas Hey, Catharina Klumpp, Kathrin Kruse, Benjamin Karcher

06-2019

Welcome to the fifth edition of Frontline Germany, a quarterly newsletter prepared by our team of employment law experts in Germany. Each edition will provide you with a round-up of the most recent legal developments, upcoming changes, and practical tips to help you stay out of HR-hot water.

This edition features:

  • Details on a draft bill planned for an Immigration of Skilled Workers Act, designed to promote the immigration of skilled workers from third countries;
  • An analysis of the Certificate of Coverage needed to cover business trips within the EU and the forecasted system change, and;
  • A look at the new law for the protection of Trade Secrets in Germany from an employment perspective.

Federal Government draft bill planned for an Immigration of Skilled Workers Act, to promote the immigration of skilled workers from third countries

At present, the unemployment rate in Germany is at its lowest rate in decades. However, this positive development also poses a challenge of how to recruit a suitable number of skilled workers for the German labour market. This is not only a question of ensuring the quality of professional practice, but also one of recruiting skilled workers from abroad in order to counter demographic change and progressive digitalization.

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Issues with the 'Certificate of Coverage': How spontaneous can business trips continue to be in the future?

The 'Certificate of Coverage (A1)' is intended to simplify the free movement of workers guaranteed under European law since 2010, with the aim of avoiding double social security payments. Practical problems, however, result from the unbalanced handling of checks and the administrative effort associated with the Certificate of Coverage throughout Europe. It is hoped that the current situation as regards (spontaneous) business trips, which is particularly prone to problems, will in due course be remedied.

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New Law for the Protection of Trade Secrets in Germany

The German Law for the Protection of Trade Secrets (Gesetz zum Schutz von Geschäftsgeheimnissen, "GeschGehG") came into force on 26 April 2019, following considerable delay. This new law is based on Directive (EU) 2016/943 of the European Parliament and of the Council dated 8 June 2016. The new law provides for the protection of undisclosed know-how and business information ('trade secrets') from their unlawful acquisition, use and disclosure.

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