Post-Pandemic Shift: German Courts Signal Stricter Line on Sick Leave and Workplace Compliance

The leniency that pandemic-related absences once bought German workers is fading. A recent ruling by the Landesarbeitsgericht (LAG) Hannover (case reference 17?SLa?330/25) illustrates the shift: it deemed the dismissal of an employee with 95, 93 and 61 consecutive sick days unlawful – partly because several of those were linked to COVID-19 infections. The court underscored the employee’s social protectiveness, but issued a clear warning: now that the pandemic emergency is over, high absence rates will be assessed far more rigorously by judges. Employers, in turn, are under pressure to tighten their attendance policies.

That pressure is already showing in other areas of workplace discipline. A new survey from the job portal Indeed found that one in ten German employees works from home more often than company rules allow. These violations are rarely solitary acts. More than a quarter of the 1,000 respondents (27?%) said they bypass formal attendance quotas through informal, off-the-record agreements with their direct supervisors. Such arrangements may seem convenient, but labour-law expert Pascal Croset warns they carry serious risks for both sides. Violations of contractual duties can lead to written warnings or even dismissal.

The legal basis is key: individual employment contracts define the framework, but works council agreements have binding force across the entire workforce. If managers unilaterally grant home-office privileges that contradict corporate policy, they themselves commit a breach of duty. Crucially, the employer’s right to monitor on-site attendance remains unaffected, Croset added.

Alongside attendance, correct time recording is a persistent problem. Another survey showed that 13?% of 1,000 regularly falsify their working hours, and three-quarters admitted to running personal errands during paid work time. The Institute for Applied Work Science (IFAA) has underlined the macroeconomic damage this causes.

The courts are also clarifying what exactly counts as working time. In a decision dated 9?October?2025, the European Court of Justice (ECJ) ruled that journeys in a company vehicle from a base to the first work site – and the return trip – constitute working time, provided the employer organises the journey and the worker cannot freely arrange their time. The ruling primarily affects field-service staff, construction workers and care personnel. Ordinary commuting remains private time.

When employers attempt large-scale layoffs, procedural precision has never been more critical. In early April 2026, the Federal Labour Court (BAG) toughened the requirements for mass redundancies. A correct notification to the employment agency is an absolute prerequisite for each individual dismissal. Filing that notification too early – before consultation with the works council has concluded – invalidates the termination. The BAG stressed the strict sequence: consultation first, notification second, dismissal third. Any deviation risks the entire layoff plan collapsing in court.

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