allgemeinverbindliche

Allgemeinverbindlich is a German legal term that translates to "generally binding" or "universally applicable." It refers to a legal norm, regulation, or agreement that is extended to apply not only to the direct parties involved but also to a broader group of individuals or entities who are not directly signatories.

This concept is most commonly encountered in the context of collective bargaining agreements (Tarifverträge) in Germany. When a collective bargaining agreement between a trade union and an employer association is declared generally binding by the relevant federal or state ministry, its provisions automatically extend to all employees and employers within the scope of that sector, even if they are not members of the negotiating union or employer association. This ensures a level playing field and prevents a situation where non-unionized entities could gain a competitive advantage by adhering to lower labor standards.

The process for declaring an agreement generally binding involves an application by the negotiating parties and a decision by the competent authority based on specific legal criteria. These criteria typically include whether extending the agreement is in the public interest and whether it is necessary to avoid unfair competition or to maintain fair working conditions across the industry. The generally binding nature of such agreements is a significant feature of German labor law, contributing to social peace and standardization within various economic sectors.