Legal Compliance

Temporary Staffing with Full Legal Compliance

Temporary agency work is one of the most tightly regulated forms of employment in Germany. The German Employee Leasing Act (AÜG), collective bargaining agreements, industry-specific pay supplements, works council rights, and workplace safety regulations are all intertwined—mistakes can affect not only the staffing agency, but also the client company. As a business, you want to bring in capacity, not run a legal gauntlet.

Since 2014, smartjobs has provided legally compliant temporary staffing in Cologne, Bonn, Düsseldorf, and the Rhein-Erft region. We are a member of the German Association of Staffing Companies (GVP), hold a valid license for employee leasing, are bound by collective agreements, and closely monitor all statutory deadlines affecting you and us. This page explains which regulations apply, what they mean for you, and how we ensure you keep your focus—without getting caught up in red tape.

The Rules That Apply to Every Assignment

Licensing Requirements

Any company leasing out employees commercially needs a special permit from the Federal Employment Agency. Without this license, both the leasing and employment contracts are void, and the law creates a direct employment relationship between the temporary employee and the client company. You can check our license at any time—we can provide it with every contract upon request.

Designation and Specification Requirement

Every staffing agreement must clearly state it is for temporary agency work, and the temporary employee must be identified by name before their first day on assignment. "Work contracts" that are, in practice, disguised leasing arrangements cannot be retrospectively corrected since 2017. Our contracts and assignment notifications meet both of these obligations before anyone starts work.

Maximum Assignment Duration

No individual temporary worker may be placed with the same client company for more than 18 consecutive months. Interruptions of more than three months reset the clock. Collective or company-level agreements may extend this period, often up to 24 months. For each worker, we keep a deadline calendar and notify you at least three months before the limit so the next steps—transfer to permanent, bringing in a new worker, or contract extension—can be smoothly arranged.

Equal Pay and Equal Treatment

After nine months on assignment in the same client company, the temporary worker is legally entitled to the same pay as a comparable permanent employee. If an industry pay supplement agreement applies, pay is increased in stages starting from the sixth week, and the equal pay obligation takes effect after 15 months. Pay supplements are automatically calculated and visible on your invoice. Access to facilities like the canteen, parking lot, or company childcare is available to temporary staff from day one.

Collective Agreements and Minimum Wage

Our team members are paid according to the collective agreements negotiated by the GVP and DGB trade unions. Pay grade, bonuses for night, Sunday and holiday work, paid time off, and annual special payments are all determined by these agreements. The industry minimum wage for temporary workers is higher than the statutory minimum wage—this is guaranteed and documented by us.

Works Council and Co-Determination

The use of temporary workers is considered a new hire under the German Works Constitution Act. The works council must be informed in advance and give its approval. We provide you with all documents required for the works council, prepared in a way that avoids unnecessary delays.

Workplace Safety

The client company is responsible for workplace safety, while the agency handles medical check-ups, basic safety training, and providing personal protective equipment. Before the assignment starts, we coordinate with you which risk assessment applies and who conducts which training, keeping thorough records throughout.

What Is Not Allowed

Temporary employees may not be deployed in workplaces affected by strikes. Further leasing to third parties is forbidden. Anyone who worked for you or your corporate group in the past six months cannot return as a temporary employee on less favorable terms. We carefully check all of this for each assignment.

What Happens If the Rules Are Broken

The fine amounts are set out in Section 16 AÜG. Both staffing agencies and client companies are liable, which is why legal compliance serves everyone’s interests.

How smartjobs Works

1. Contract check before every assignment. Every assignment contract is clearly identified, names the employee, details duties, qualifications, pay basis, and work location. Nothing starts without a signed agreement.
2. Deadline tracking. For every employee and assignment, we track start date, industry pay supplement stages, equal pay dates, maximum assignment duration, and any breaks. You get reminders three months and one month before each key date.
3. Meticulous record keeping. Timesheets, assignment notifications, training records, and contract amendments are readily available for inspections by the labor office, customs, or accident insurance authorities.
4. Continuous updates. Whenever legislative, collective bargaining, or minimum wage rules change, we update contracts and payroll accordingly and notify you if anything relevant to your assignments is affected.

Frequently Asked Questions

What happens after 18 months? We’ll contact you three months before the limit: options include offering permanent employment, switching to a different worker, scheduling a break of more than three months, or extending via a collective agreement. Nothing happens without your decision.

Who is liable if something goes wrong? In principle, both sides share responsibility. That’s why we provide our license, use collective agreement-based contracts, and monitor all deadlines—which limits your risk to only your day-to-day responsibilities like workplace safety and fair treatment.

Is temporary staffing more expensive than direct hiring? Our rates cover wages, social security, paid leave, sick days, pay supplements, administration, and our recruitment and compliance work. Over the whole assignment, this usually comes close to the total cost of a direct hire—but with fewer risks for your business. More details are available under What does temporary staffing cost for companies?

Can we hire a temporary worker directly? Absolutely. The terms are included in your contract. There are no blocking periods to prevent a transfer.

Based in Erftstadt, Assignments Across the Region and Beyond

We serve clients in Cologne, Bonn, Düsseldorf, Brühl, Hürth, Frechen, Kerpen, Bergheim, and throughout the Rhein-Erft district—and, for existing customers, at additional locations across Germany. For questions about your specific legal situation, just call us on +49 2235 98617-0.

Note: This page explains the legal situation in practice from a staffing provider’s perspective and does not constitute legal advice. Information as of September 2026.