Bank Holidays in Germany

Germany, a country renowned for its economic prowess, rich history, and cultural diversity, also places a strong emphasis on work-life balance, which is reflected in its observance of bank holidays. For both employers and employees, understanding the nuances of bank holidays in Germany is vital for ensuring compliance with labour laws and maintaining smooth business operations. In this blog, we’ll delve into the key aspects of German bank holidays, the rights and obligations of employees and employers, and how these holidays affect businesses. 

What are bank holidays in Germany? 

Bank holidays in Germany, known as Feiertage, are public holidays during which most businesses and government offices are closed. These holidays are deeply rooted in the country’s history, culture, and religious traditions. Bank holidays in Germany vary by state, reflecting the country’s federal structure, which grants each state some autonomy in determining public holidays. 

How many bank holidays are there in Germany? 

Germany does not have a fixed number of nationwide bank holidays, as these can vary from state to state. However, there are typically between 9 and 13 public holidays observed across the different states. 

Here’s a list of some of the key bank holidays that are recognized in most of Germany: 

• New Year’s Day (Neujahrstag) – January 1st 

• Good Friday (Karfreitag) – Date varies 

• Easter Monday (Ostermontag) – Date varies 

• Labour Day (Tag der Arbeit) – May 1st 

• Ascension Day (Christi Himmelfahrt) – Date varies 

• Whit Monday (Pfingstmontag) – Date varies 

• German Unity Day (Tag der Deutschen Einheit) – October 3rd 

• Christmas Day (Weihnachtstag) – December 25th 

• Boxing Day (Zweiter Weihnachtsfeiertag) – December 26th 

Working on bank holidays in Germany: What are the rules? 

Whether employees are required to work on bank holidays in Germany depends on various factors, including the industry, location, and agreements between employers and employees. 

• General rule: Generally, employees are not required to work on public holidays. Exceptions apply mainly in essential sectors such as healthcare, emergency services, and hospitality, where operations cannot be halted. 

• Regional differences: In some states, additional holidays are recognized, such as Epiphany (January 6th) in Bavaria and Baden-Württemberg, or Reformation Day (October 31st) in the eastern states. Employees in these regions may benefit from more holidays compared to those in other parts of the country. 

• Company agreements: Employers may have specific agreements with employees or unions that stipulate work on public holidays. In such cases, employees are typically compensated with higher pay or additional time off. 

Compensation for working on bank holidays 

Employees who work on public holidays in Germany are entitled to specific compensation, as outlined in their employment contracts or collective bargaining agreements. Common forms of compensation include: 

• Overtime pay: Employees are generally entitled to additional pay, often a premium of 50-150%, depending on the holiday and the industry. 

• Alternative time off: Instead of extra pay, employees may receive a compensatory day off at a later date. 

Employers must clearly communicate the terms of compensation for working on bank holidays to ensure compliance with German labour laws. 

Impact of bank holidays on businesses 

Bank holidays can have a significant impact on business operations, particularly for companies that depend on continuous services or customer interaction. Here’s how businesses might be affected: 

• Operational adjustments: Many businesses, especially in retail and services, may need to modify their hours or close on public holidays. This requires strategic planning to maintain business continuity without overburdening employees. 

• Workforce management: For businesses that remain open on bank holidays, careful scheduling is essential. Employers should plan in advance to ensure sufficient staffing while respecting employees’ rights to rest. 

• Customer communication: It’s important for businesses to inform customers of any changes in operating hours or service availability during bank holidays. This can be communicated through emails, social media, and notices on websites. 

Obligations for employers 

Employers in Germany have specific obligations when it comes to managing bank holidays, including: 

• Compliance with labour laws: Employers must ensure that employees’ rights are respected, particularly regarding mandatory holidays. 

• Fair compensation: Providing appropriate compensation for employees who work on bank holidays, as stipulated in employment contracts and collective agreements. 

• Advance notification: Employers should inform employees well in advance if they are required to work on a public holiday and explain the compensation they will receive. 

Holiday entitlement and bank holidays 

In Germany, public holidays are typically in addition to the annual leave entitlements provided to employees. However, there are a few key points to consider: 

• Holiday increase: Employees accumulate paid leave separately from public holidays. If a bank holiday falls on a weekend, it does not result in an additional day off. 

• Part-time workers: For part-time employees, entitlements to public holidays depend on their work schedule. If a holiday falls on a day they normally work, they are entitled to the day off. Otherwise, there is no additional entitlement. 

Navigating bank holidays in Germany 

Bank holidays in Germany play a crucial role in maintaining work-life balance and shaping the business environment. For employers, understanding the legal obligations and planning for these holidays is essential to ensure compliance and smooth operations. Employees should also be aware of their rights and the opportunities these holidays provide for rest and relaxation. 

At Parakar, we understand the complexities of managing business operations in Germany, including navigating the various public holidays. If you need assistance with employment law compliance, workforce management, or any other HR-related services, don’t hesitate to contact us. We’re here to support you every step of the way