this post was submitted on 18 Oct 2023
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Did you receive a written termination letter, either handed out or sent to you via registered letter?
If no: You are still employed. Do nothing until you receive it, the law is on your side.
If yes: There is a so-called "Insolvenzgeld" every employee who got terminated due to bankruptcy is entitled to. This is regardless of the time you have been with the company, so the regular 12 months employment period does not apply.
Furthermore, check if your company is threatened by bankruptcy or has filed for the opening of bankruptcy proceedings.
The big difference is that in the former case, they are not yet bankrupt and can legally sign a termination. If they are already insolvent, then only the court appointed administrator can do so, unless it's a so-called self-administered insolvency (Insolvenz in Eigenverwaltung). So it's good to double check to know whether the termination is in fact legal and binding.
If you have confirmed that the termination was duly received and legally issued, you must inform the Arbeitsagentur in due course (meaning: less than 14 days upon receiving the letter, ideally immediately) to apply for the Insolvency Proceeds. In that case you must as well inform the ABH without delay; however only after confirming that you have in fact been legally terminated. Don't raise any sleeping dogs otherwise.
Thank you so much for the answer! I already received a termination letter, but there is a cancellation period, so I am still employed until the end of November (Sorry, I should have mentioned it from the start). My plan was to look for a job immediately, and in case I can find a new job before I am officially unemployed, then I would just notify ABH that I changed my job. If I can't find a job in time, I will tell them about the situation. Is this a good idea or should I just tell them directly now what's going on?
First you'll have to inform the Arbeitsagentur, that's a mandatory step you can't delay, even if you're not entitled to benefits. They will not automatically inform the ABH (yay data privacy laws!), so you can wait for 2 more weeks, but really shouldn't drag it out too long.
I'd also recommend to have a lawyer review your termination letter - if you're out of the probation period, it's not as straightforward to fire someone, bankruptcy or not. But to counter a termination you must file a protective lawsuit within 3 weeks of the date you received it, and that's a hard deadline. It's fairly inexpensive, and always recommended, really.
Thanks, but what exactly would I achieve with that? My only goal right now is to stay in Germany. I would be great to get severance, but I don't really have much hope in that regard. The more i read the replies and discussions, the more confused I get. People recommend so many things, and I don't understand what I am supposed to get out of those actions.
It's not severance, it's a benefit you're entitled to and that you paid for. Secondly, without providing evidence that you did everything possible to keep your job and maintain your livelihood, this may later be held against you.
Fair question. You don't achieve any direct benefit, but you get the official documentation of your unemployment status. It is creating the 'paper trail'.
Some day later, you may need that in order to get some other benefit or to avoid formal/legal complications. The longer you are going to stay in Germany, the more likely you will have such a situation.