German Dismissal Atlas Reveals 27% Gender Pay Gap Among Laid-Off Workers

Men are losing their jobs in Germany far more often than women, and earning significantly more when they do. The Allright Group’s “Kündigungsatlas 2026,” based on 3,207 cases analysed in June 2026, shows that men made up 57.4% of all dismissals. Their average gross monthly salary at termination stood at €4,442.80, while female colleagues received just €3,226.87 — a gap of 27.4%. Married employees formed the largest group of the dismissed at 46.7%, followed by singles at 43.1%.

Fridays are the most common day for a layoff (19.6%), and more than half of dismissals (53.9%) take effect at the end of a month. The average worker affected had been with their employer for 4.9 years. Severance payments averaged €7,392.92, though amounts ranged from tiny sums up to €157,000.

While the data paints a broad picture, Germany’s courts have been busy sharpening the legal contours of dismissal protection. In June 2026, the Federal Labor Court (BAG) addressed a recurring puzzle: when does the Protection Against Unfair Dismissal Act (KSchG) apply to companies operating multiple sites? The case involved an employer with two locations — one with eight employees, another with six. Under Section 23(1) KSchG, the law normally kicks in only for workplaces with more than ten staff. The BAG ruled that the decisive factor is whether each site is organisationally independent. The specific case concerned a janitor fired without a social selection process. Unable to reach a final verdict, the court sent the matter back to the regional labor court for more evidence on the organisational structure. Had the KSchG applied, the janitor could not have been dismissed without weighing social criteria.

Separately, the Hamm Regional Labor Court (LAG) confirmed in a revived 2023 ruling (13 Sa 20/23) that during an employee’s first six months — the probationary period or Wartezeit — the employer’s obligation to consult the works council is lighter. Only subjective reasons need to be communicated: a statement that continuing the employment is not in the company’s interest is sufficient. Objective grounds under the KSchG are not required at this stage.

The Cologne Labor Court added another nuance in November 2025. It ruled that for an engineer recognised as severely disabled on an equal footing, skipping the mandatory prevention procedure outlined in Section 167(1) SGB IX does not automatically void a dismissal during the probationary period — provided no causal link between the disability and the termination can be shown.

Beyond dismissal law, workplace regulations shifted in early 2026. The DGUV Vorschrift 2 raised the threshold for simplified occupational safety supervision from 10 to 20 employees. Digital supervision via phone or online now counts for up to one-third of the required hours. For minijobbers, a change comes in July 2026: employees who once declared an exemption from mandatory pension insurance can revoke it by applying to their employer, thereby building up pension entitlements again, with a personal contribution rate of 3.6% in commercial sectors.

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Finally, the Schleswig-Holstein Regional Labor Court flagged a risk around sick notes. If a doctor’s certificate of incapacity covers exactly the same period as the notice period, its evidentiary value can be undermined. The burden then shifts to the employee to prove actual incapacity; otherwise, the employer may refuse continued wage payment.

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