Works council elections do not protect against the end of fixed-term contracts, Federal Labor Court, June 18, 2025, Ref. No.: 7 AZR 50/24
The Federal Labor Court has clarified: An employment relationship that has been validly limited in duration under the Part-Time and Fixed-Term Employment Act (= Teilzeit- und Befristungsgesetz = TzBfG) ends regularly upon expiry of the agreed term – even if the employee has been elected to the works council in the meantime. Simply being elected to the works council does not protect employees from the end of a fixed-term contract. Employers retain their freedom of contract – but only as long as there is no unequal treatment because of the membership in the works council, for which there has to be concrete evidence of a discrimination. Works council members are indeed protected against discrimination (Sec. 78 of the Works Council Constitution Act = Betriebsverfassungsgesetz = BetrVG), but they are not protected from the expiry of a fixed-term employment contract. The employer’s decision not to offer a subsequent contract must be objectively justifiable and demonstrably independent of the works council activity.
to the press release