Temporary Work in Germany: Employees' Rights Under Labor Law

Temporary work—also known as agency work or temporary staffing—is an important gateway to the job market or a flexible form of employment for many people. But what exactly are temporary workers legally entitled to? What protections apply, who pays the wages, and what happens in cases of unequal treatment? This article explains the most important aspects of labor law regarding temporary work in Germany—in clear and understandable terms.

Key points at a glance

  • The legal basis is the Temporary Employment Act (AÜG), which protects temporary workers in key areas.
  • Equal pay applies after no more than 9 months of employment at the same company—that is, the same salary as regular employees.
  • As of January 1, 2026, the minimum wage for temporary work is at least €14.96 per hour (according to the GVP industry-wide collective agreement).
  • The duration of assignment is limited to a maximum of 18 months with the same client (with exceptions as provided for in the collective bargaining agreement).
  • Temporary workers have works council and co-determination rights at the client company, even if they are not permanently employed there.

What is temporary work, and what are the legal regulations governing it?

Temporary work involves a three-way relationship: A temporary employment agency (the agency) provides an employee (the temporary worker) to another company (the client). The employment contract is between the temporary worker and the agency—which also pays the wages. The key law is the Temporary Employment Act (AÜG), which ensures that temporary workers are treated similarly to permanent staff in terms of working hours, vacation, maternity leave, and pay. Agencies require an official permit from the Federal Employment Agency; without this permit, the assignment is illegal.

What is the minimum wage for temporary workers?

Temporary workers are entitled to an industry-specific minimum wage that exceeds the general statutory minimum wage. As of January 1, 2026, the minimum wage for temporary workers is €14.96 per hour, and it will increase to €15.33 as of September 1, 2026. By comparison, the general statutory minimum wage has been €13.90 since January 1, 2026. The specific hourly wages are based on the GVP pay scale (formerly the iGZ scale) and vary depending on the pay grade and qualifications.

What does "equal pay" mean, and when does it apply?

Equal Pay means that temporary workers are entitled to the same pay as comparable permanent employees at the client company. This entitlement takes effect no later than after 9 months of employment with the same client. Until then, different collective bargaining agreements specific to the temporary staffing industry may apply, which generally provide for slightly lower wages. Hiring companies are now required to define transparent salary ranges for comparable permanent employees and communicate them to the staffing agency so that equal pay can be calculated correctly.

How long can a temporary worker be assigned to a company?

The German Temporary Employment Act (AÜG) sets a maximum assignment period of 18 months with the same client. This limit may be extended to up to 24 months by collective bargaining agreement. If the limit is exceeded, an employment relationship is established by law directly between the employee and the client—an important safeguard that prevents temporary work from being used on a permanent basis to circumvent permanent employment relationships.

Not sure if your assignment exceeds the legal maximum duration? Request a free initial consultation now.

What occupational safety and health rights apply to temporary workers?

Temporary workers are treated exactly the same as regular employees of the host company when it comes to occupational safety and health. This means:

  • All provisions of the Working Hours Act (maximum 8 hours per day, break regulations) apply in full.
  • The borrower is responsible for safety training, personal protective equipment, and compliance with accident prevention regulations.
  • In the event of workplace accidents, coverage under the statutory workers' compensation insurance applies—including for temporary workers.
  • Maternity leave and parental leave also apply; as the formal employer, the staffing agency bears primary responsibility in this regard.

Do temporary workers Entitlement to vacation and social benefits?

Yes—and in full. Temporary workers are entitled to the statutory minimum vacation of 24 working days (for a 6-day workweek) or 20 working days (for a 5-day workweek). Many collective bargaining agreements in the industry also grant additional vacation days. In addition, social security contributions (health, pension, unemployment, and long-term care insurance) are paid in full by the staffing agency—so social security coverage is comparable to that of a regular permanent position.

What rights do temporary workers have regarding employee participation?

An often-overlooked area: Temporary workers enjoy important rights under works council law at the client company. Specifically:

  • You may visit the works council’s office hours at the host company.
  • You have the right to participate in company and youth meetings.
  • They are included in the calculation of thresholds (e.g., for the requirement to establish a works council) at the borrowing company—but only if their assignment lasts longer than 6 months.
  • However, they are not eligible for election to the works council.

What happens if the rental company doesn't have a valid permit?

If the temporary employment agency does not have a staffing license from the Federal Employment Agency, the staffing contract is invalid. In this case, an employment relationship is automatically established between the temporary worker and the client company—to protect the worker. This so-called “deemed employment relationship” has far-reaching consequences: The client company becomes the actual employer and must fulfill all obligations under labor law. Temporary workers should therefore always ensure that their agency is properly licensed.

What changes to temporary employment will take effect in 2025/2026?

The 2025–2026 academic year brought several important changes:

  • Minimum wage increase: The sector-specific minimum wage rose to €14.96 on January 1, 2026, and will increase further to €15.33 on September 1, 2026.
  • Equal Pay from Day One (Equal Treatment): The requirement for equal treatment regarding essential terms and conditions of employment (excluding pay) applies from the very first day of employment.
  • Employer of Record: Starting in October 2025, these models will once again be considered permissible under the German Temporary Employment Act (AÜG)—following a temporary restriction imposed by the Federal Employment Agency.
  • Transparency requirements: Borrowing companies must actively disclose comparable salaries to enable an accurate equal pay calculation.

How can temporary workers assert their rights?

Temporary workers who feel they are being treated unfairly or underpaid should be aware of the following steps:

  1. Documentation: Carefully keep records of all working hours, pay stubs, and duration of assignments.
  2. Contact the works council: Works councils can be of assistance at both the staffing agency and the client company (if one exists).
  3. Contact a union: DGB-affiliated unions such as ver.di and IG Metall offer specific advice for temporary workers.
  4. Employment Law Advice: An attorney specializing in employment law can determine whether you are entitled to equal pay, vacation time, or continued employment.
  5. Labor Court: Claims for unpaid wages or claims seeking a declaration of an employment relationship may be filed with the competent labor court—often without the need for legal representation in the first instance.

Conclusion

Temporary work is clearly regulated by law in Germany and offers workers a comprehensive framework of protections. The Temporary Employment Act (AÜG) ensures that temporary workers are not treated as second-class employees: equal pay, the minimum wage, vacation entitlement, occupational safety, and co-determination rights also apply to them. The upcoming changes in 2025/2026—particularly the minimum wage increases and stricter transparency requirements—further strengthen this position. Those who know their rights can also enforce them. And for those who are unsure: a labor law specialist can quickly provide clarity.

Legal Notice: This article is intended solely for general informational purposes and does not constitute legal advice in specific cases. It is not a substitute for individual consultation with a licensed attorney. For legally sound advice regarding your specific situation, we recommend contacting a law firm specializing in employment law.

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