Work contracts for international hires in Germany: probation, non-compete, and home office

I advise employers who hire non-EU professionals. Below is a practical guide to set clean contracts and policies that work in Germany. Short sentences. No jargon. Only what you need to avoid delays and disputes.

What I look for first (quick checklist)

Job–qualification fit: title and duties match the route used for immigration.
Working time: hours, breaks and reliable time recording (also when remote).
Place of work: office, home office, mobile work, and any cross-border limits.
Equipment & data: who provides devices, IT security, confidentiality and IP.
Probation: clear rules on length and notice.
Non-compete (if needed): scope, compensation and duration that are lawful.

Probation (Probezeit) and notice

Keep it simple. In Germany, probation is usually up to six months. During probation, you can agree a short statutory notice (commonly two weeks). After probation, use the normal statutory or contractual notice periods based on tenure.

State it clearly: length of probation, notice during probation, and what happens after.
No surprises: avoid hidden performance conditions. Say what you expect in plain words.
Documentation: run short check-ins and keep notes. It helps if you must act fast.

Post-contractual non-compete (when and how)

Use it only when the role truly needs it. German law allows a post-contractual non-compete if you meet strict rules:

Written form: the clause must follow the required written form and be handed to the employee.
Compensation: pay at least 50% of the last contractual earnings for the duration of the restraint (so-called compensation for restraint).
Duration: maximum two years.
Scope: define activities, territory, and customer groups precisely. Keep it no broader than needed.
Consideration of interest: the clause must be reasonable for both sides; otherwise a court can trim or strike it.
Return & handover: add a clean handover and return-of-property rule at exit.

Tip: if you only need to protect clients and staff, you may use a separate non-solicitation clause with clear limits.

Home office vs mobile work (define it)

Do not mix terms. In Germany, “home office/telework” means a regular workstation at home, planned and equipped with your help. “Mobile work” means the employee works from changing locations (not a fixed home desk).

Choose the model: home office (fixed setting) or mobile work (flexible). You can combine them, but define each.
Place of work: name the office address, state the home address if telework, and set a default country for work.
Equipment: list devices and who pays for internet, electricity, and furniture (if any).
Health & safety: confirm risk assessment duties for telework and give basic guidance for mobile work.
Availability window: set contact hours and a rule for meetings at the office when required.

Working time and recording

German rules protect health. Keep them visible in the contract and in your policy.

Daily/weekly limits: plan for up to eight hours per day on average, breaks and rest periods, and Sunday/holiday rules.
Reliable time recording: record start, end and breaks—also in remote settings. Keep the method simple and consistent.
Overtime: define approval, recording, and compensation or time off in lieu.
Managers: if you exclude certain roles from overtime pay, do so carefully and in line with the law.

Data protection, confidentiality and IP

Confidentiality: protect trade secrets in plain words and point to your internal policy.
Data protection: give the employee privacy information; set rules for using personal devices and cloud tools.
Access control: limit who can see client data when working remotely; use MFA and encryption.
IP assignment: make sure work results belong to the company. Add a short “return and deletion” rule at exit.

Cross-border remote work (keep control)

Work from another country triggers social security, tax and sometimes immigration. Set a simple rule:

Approval first: no cross-border work without written approval.
EU/EEA basics: for any work abroad, check the need for an A1 certificate and local limits.
Non-EU countries: check visas, tax and permanent-establishment risk before you allow it.
Caps: if you allow short stays abroad, set a clear yearly cap and approval flow.

My step-by-step for HR

Pick the model: office-first, hybrid with home office, or mobile work only. Write it down.
Draft the contract: job–qualification fit, probation, notice, working time, place of work, equipment, IP and confidentiality.
Add policies: working-time recording, remote-work rules, IT security, data protection, expenses.
Decide on non-compete: only if needed; if yes, meet the formalities (written form, 50% compensation, precise scope, max two years).
Plan onboarding: accounts, hardware, time-recording method, and checklists for manager and employee.

Common pitfalls I see

Vague place of work: the contract says “remote” but gives no country or limits.
No time recording when remote: breaches working-time rules and invites disputes.
Over-broad non-competes: no compensation, too long, or too wide—often unenforceable.
Title–task mismatch: immigration based on one profile, contract describes another.
Missing IP/confidentiality basics: silence on ownership and return of data at exit.

FAQs

How long should probation be?

Commonly up to six months. Use the short statutory notice during probation and state the post-probation notice separately.

Do I need a non-compete for every role?

No. Use it only when justified. If you need it, follow the strict rules: written form, at least 50% compensation, max two years, precise scope.

Is there a legal right to home office?

No general right. You decide the model in the contract or policy. For telework, plan equipment and safety duties.

How do we record time when employees work from home?

Pick one reliable method (tool or form). Record start, end and breaks. Keep it the same for office and remote work.

Can employees work from abroad?

Only with prior approval. Check social security (A1 in the EU/EEA), tax, and any visa rules before you allow it.

Call to action

Schedule a personal consultation. I will align your contract, remote-work policy and (if needed) non-compete with German rules so you can hire fast and avoid disputes.

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