EOR · EUR (€)

Employer of Record in Germany

Germany has some of the strongest employee dismissal protections in Europe, and getting a termination wrong is expensive and slow to unwind in the labour courts. Add works councils, collective agreements and regulated personnel leasing, and hiring calls for a carefully chosen structure. EOR can support EU/EEA nationals and workers whose existing authorisation permits the arrangement; new non-EU entries need a separate immigration assessment before an EOR route is confirmed.

Talk to us about Germany How our EOR works

xpath.global Employer of Record coverage — hire in Germany without a local entity

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Germany · EUR (€)

Why hire in Germany through an EOR

Germany is Europe's largest economy and a deep market for engineering, manufacturing and enterprise software talent — but it's also one of the least forgiving markets to get employment law wrong in. The Kündigungsschutzgesetz (Dismissal Protection Act) applies once an employee passes six months' service in a business with more than ten employees, which means termination without cause becomes materially harder from month seven onward. Most companies expanding into Germany want the talent without personally owning that legal exposure.

Employment law essentials in Germany

Notice periods scale with tenure under the German Civil Code (BGB §622) — a basic four weeks to the 15th or end of a calendar month, extending toward several months for long-tenured employees. Probation is typically capped at six months. Statutory minimum annual leave is 20 days based on a five-day week, though most employers offer 25–30 contractually. Larger employers with an elected works council (Betriebsrat) must consult it on hiring, transfers and dismissals — a structural feature many first-time employers in Germany don't anticipate.

How it works

How hiring through an Employer of Record works

Five clear steps from eligibility assessment to ongoing employment — coordinated by xpath.global with the eligible local employing entity.

Diverse international team collaborating on cross-border hiring through an Employer of Record

The result

Build your team without entity setup for eligible EOR hires — with local employment administration and cross-border risks actively managed.

01
Step 01
Select your candidate
Identify the person you want to hire — anywhere across Europe. We support hiring in 20+ European countries, whether it's a new recruit, a converted contractor or an internal transfer.
02
Step 02
Immigration & relocation readiness
Before confirming the hire, we assess the worker's status, role, local employing entity and any sponsor or labour-leasing requirements. Where an EOR + work-permit route is eligible, one case owner coordinates immigration, employment and relocation, including relevant registrations and settling-in support.
03
Step 03
Employment setup through xpath.global
Once eligibility and any required approvals are confirmed, xpath.global coordinates the locally compliant contract and onboarding with the eligible in-country employing entity — without requiring you to incorporate for that EOR arrangement.
04
Step 04
Payroll, taxes and benefits administration
We run payroll coordination, income tax, social security and statutory benefits in line with each country's labour law — plus supplementary benefits (private health, pension, equity) when your policy calls for them.
05
Step 05
Ongoing employment and HR support
xpath.global coordinates contract updates, leave, expenses, payroll and offboarding with the employing entity. Your team directs work within the agreed lawful arrangement, with employer and any sponsor responsibilities clearly allocated.

Payroll, tax & immigration in Germany

German payroll runs monthly, with income tax, solidarity surcharge, church tax where applicable, and social security contributions (pension, health, unemployment and long-term care insurance). Genuine labour supply (Arbeitnehmerüberlassung) generally requires an AÜG permit held by the supplying employer. Where Federal Employment Agency (BA) consent is required, §40(1)(2) AufenthG prevents approval for employment as an agency worker. A Blue Card or other non-EU route therefore cannot be assumed compatible with leased labour; the employing structure and the worker's specific immigration pathway must be assessed first.

How xpath.global's EOR works in Germany

Your case owner coordinates the German employment contract, payroll and statutory filings with the eligible local employing entity. We check whether the arrangement is regulated labour leasing and whether the entity has the required AÜG authorisation. For a hire needing immigration permission, we assess the legal structure and route before committing, then coordinate an EOR arrangement or another lawful employment option where suitable.

Always-on compliance

Stay compliant while you grow — everywhere.

Contracts, minimum wage, statutory benefits, terminations and local labour law across 20+ European countries. Our compliance team monitors changes so your team never gets caught out.

Full employee lifecycle — hire, adjust, terminate
Regulatory monitoring and proactive alerts
200+ legal experts specialised by country
Data protection: GDPR, SOC 2 aligned processes

Talk to a specialist

20+

European countries covered

UK, DE, ES, FR, NL, IT, PL, RO…

200+

In-house legal and tax experts

Country-specialised, on your case

24×7

Dedicated customer support

One case owner, no ticket queues

120+

Currencies to pay your employees

Multi-currency payroll & FX

Pricing

Pay, manage and grow your global team.

Transparent, per-employee pricing across the services that surround the EOR relationship — employment, immigration, contractors and full mobility. All plans include a dedicated case owner and platform access.

Employer of Record

Employ talent across Europe without setting up a local entity.

Starting at

Tailored

per employee / month

Legal employment in 20+ European countries
Locally compliant contracts & onboarding
Payroll, tax & social security handled
Statutory + supplementary benefits
Automated compliance & filings
24/7 HR & legal expertise

Book a demo

Immigration Compliance

EOR with work authorisation and visas where local rules allow — one case owner end-to-end.

Custom

Tailored

priced by scope

Legal employment in 20+ European countries
Locally compliant contracts & onboarding
Payroll, tax & social security handled
Eligible work permit & visa coordination
In-house immigration specialists
Family & dependant support
Posted-worker & A1 filings
Same case owner across EOR & immigration

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Contractor Management

Engage and pay global contractors compliantly.

Starting at

Tailored

per contractor / month

Compliant contractor agreements
Payments in 120+ currencies
Misclassification risk checks
Automated invoicing & tax forms
Centralized contractor dashboard

Book a demo

Indicative pricing. Final quotes depend on country, role and volume — we confirm the exact monthly and one-off fees before you sign.

FAQs — Employer of Record in Germany

How hard is it to terminate an employee in Germany?+

Harder than in most European markets after six months' tenure in companies above ten employees. xpath.global structures contracts and manages exits in line with German dismissal protection law from day one, so there are no surprises later.

Can EOR be combined with an EU Blue Card in Germany?+

Not automatically. Where BA consent is required, §40(1)(2) AufenthG prevents approval for employment as an agency worker. We assess the employing structure, any AÜG authorisation and the specific immigration route first. Some workers with existing work rights or other eligible arrangements may be supported; a role and salary meeting Blue Card criteria alone do not confirm EOR suitability.

Do we need to worry about a works council?+

Only if the employing entity has an elected Betriebsrat — xpath.global's in-house team will flag if and when that applies to your hire.

Forward look

Germany remains a priority market for specialist talent. Choosing the employing structure and immigration pathway together keeps the hiring plan grounded in local labour-leasing and work-authorisation rules.

EOR in other European countries

EOR in United Kingdom

EOR in the Netherlands

Ready to hire in Germany?

One case owner. Contract, payroll, tax and — where locally eligible — immigration, coordinated with the employing entity. Talk to us about your Germany hire.

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