(Wächter, 2002)The term of wages and benefits can be said to vary considerably among industries and depending on whether or not the company is subjected to collective bargaining environment. The normal working time in most industries in Germany is 35-40 hours per week with senior managers working more to accommodate the business needs. The concept of minimum wage has been debated on the political circles in Germany. The collective bargaining agreements will establish minimum terms and conditions for employment only for those companies that are bound by agreements and collective bargaining agreements will not be establishing a maximum wage and that means many companies will be paying wages above the agreed pay scale. The regular staff will be receiving the overtime pay in excess of the basic hourly pay that has been fixed and the case of middle and senior management is that they will not be receiving any overtime pay. The employment law in Germany will be applicable to all employees and federal Vacation Act in Germany will be providing for a minimum of 24 days paid leave of absence per year and that will be based on a six day week and the 20 days that will be based on five day week.
There will be 28 to 30 paid leave absence per year and that will be based on five day week which can be termed as common. The medical and employment insurance will be normally covered using compulsorily state plans and the cots which will be shared on equal plans or basis between the employer and employee. The company plans in this area is normally uncommon. There is strict state pension plan that will be working on the same principle and the benefits under this plan are considered to be insufficient and that means company will be offering additional employer sponsored plans. The German labor unions will be negotiating collective bargaining on wages and hours and other terms of agreement. The employment structure in GermanyThe employment persons in Germany are normally divided into following groups like the managing directors in private limited company, executives, workers, employees, apprentinces, self employed person, home worker, business men, and sales agents that are not employees.
The children from the age of 13 have been allowed to perform easy work and that has been restricted for two hours daily.
The adolescents from the age of 15 have been allowed to work a maximum of 4 weeks and that has been allowed to be done in school vacation. There is provision for employing the disabled persons. The employers having 20 work places monthly must be employing 5% of disabled persons in work place. The regulation of working timeThe working time that an employee has to work will be stipulated by the aw on working hours and will be valid for all employess. There will be certain exceptions and that has been extended for executives and persons aged under 18.The exemptions will also extend to civil servants and people in military service. The definition of working time has been said as the time that is from beginning to the end of the work and that too without resting periods.
The working time of an employee may not be extending beyond 8 hours and that can be temporarily extended up to 10 hours daily. That should be done within six months or within twenty four weeks and the frame work that has been given by law on working hours will be extended by agreements and that will be made by the collective bargaining parties or the business parties and there will be special approval by the responsible authority.