Firmentarifverträge

Firmentarifverträge, also known as company collective agreements, are legally binding contracts negotiated between an employer or an employers' association and a trade union or works council. These agreements establish terms and conditions of employment for a specific company or group of companies. They typically cover aspects such as wages, working hours, vacation entitlements, sick pay, and other benefits. The primary purpose of a Firmentarifvertrag is to regulate the employment relationship in a fair and predictable manner, often aiming to provide employees with better conditions than those mandated by general law.

The negotiation process involves representatives from both sides coming together to discuss and agree upon the terms. Once signed, the Firmentarifvertrag is legally binding on both the employer and the employees covered by the agreement. It can be terminated or renegotiated under specific conditions outlined within the contract itself or through further collective bargaining. These agreements play a significant role in industrial relations, offering a structured framework for resolving potential disputes and fostering cooperation between management and labor within a particular enterprise. They are a key element in the broader landscape of collective bargaining in many countries.