How to quit your job in Germany and retain your right to unemployment benefits

In Germany, labor law provides a significant degree of protection to employees, but also provides for strict conditions for dismissal. For many foreigners working in Germany, in particular Ukrainians who have been legalized as temporary protected persons, professionals or family members, the issue of dismissal at the initiative of the employee is accompanied by financial risks. Dismissal without reason, from the point of view of German legislation, can lead to the loss of the right to unemployment benefits for a period of up to 12 weeks. This is the so-called Sperrzeit – the period during which the Federal Labor Agency (Agentur für Arbeit) suspends the payment of ALG I (Arbeitslosengeld I). This rule applies not only to the classic voluntary dismissal (Eigenkündigung), but also to the signing of a mutual agreement on termination of employment (Aufhebungsvertrag). Therefore, before making any decision, you should clearly understand the legal consequences, rules of exclusion, the possibility of proving the validity of the reasons and appeal mechanisms.
What is Sperrzeit and why is it used?
Sperrzeit is an administrative measure that consists in the temporary suspension of unemployment benefits in cases where the person, according to the Agentur für Arbeit, has caused it himself. It is not a matter of punishment, but an assessment of the situation: if a person left work voluntarily without a “good reason”, the state is not obliged to immediately pay assistance.
Sperrzeit usually lasts up to 12 weeks. During this time, the person receives no financial support from the agency, although the health insurance contributions continue to be paid – which is important given the mandatory health insurance in Germany.
The decision on Sperrzeit is made after evaluating all the documents, the applicant’s explanations and the terms of termination of the employment relationship. Often people find out about the existence of a Sperrzeit only after applying for assistance – and do not always know that this decision can be appealed.
When dismissal does not result in loss of benefits
German legislation provides for a list of circumstances under which dismissal at the initiative of the employee or by agreement of the parties does not entail the suspension of benefits. In such cases, the employee is entitled to full unemployment benefits without delay.
- The new job was agreed, but canceled due to the fault of the employer. If you resigned from your previous job with confirmation (even verbal) of a new position, but that new job turned out to be unavailable due to cancellation by the new employer, this is considered a valid reason. You need to provide a letter or other confirmation that shows the previous agreement and its cancellation through no fault of yours.
- Signing the Aufhebungsvertrag against the background of the threat of dismissal. A signed termination agreement (Aufhebungsvertrag) does not lead to Sperrzeit if the employee was threatened with dismissal at the initiative of the employer. In such a case, it is necessary to prove that the signing of the agreement took place to avoid formal dismissal and there were no alternatives. Evidence can be a warning from the employer about reduction or a letter of intent to terminate the contract.
- Labor violation by the employer: salary delays, mobbing, pressure. If the dismissal was the result of a violation of labor rights – for example, a systematic delay in the payment of wages, humiliation or mobbing in the workplace, dangerous working conditions – this is the basis for recognizing the dismissal as justified. In such cases, it is important to have written complaints, correspondence, medical certificates or testimony from colleagues.
- Medical or psychological reasons that make it impossible to continue working. In the event that the state of health does not allow to remain in the position held, but there are no grounds for issuing sick leave or disability status, voluntary dismissal may be considered justified. It is important to provide a medical or psychotherapeutic certificate with a clearly stated recommendation to stop working.
- Moving to a partner or caring for a loved one. A change of residence due to family circumstances – for example, moving to a partner with whom you are in an official or stable de facto union, or caring for a seriously ill relative – is also considered a valid reason for dismissal. However, documentary evidence is required: relationship certificate, medical certificates, proof of cohabitation, etc.
How to avoid mistakes when filing a dismissal
In order to avoid Sperrzeit, it is not enough to simply refer to one of the good reasons, it is necessary:
- Collect evidence before the release. The labor agency evaluates the documents that existed at the time of termination of the contract. Late references or testimony may be considered inconclusive.
- Describe the circumstances in writing. Along with the application for ALG I, you should submit an explanation stating the reasons for the dismissal, a chronology of events, copies of correspondence or medical recommendations.
- Save all communications with the employer. Agreements, warnings, non-payment letters, e-mails confirming mobbing, they all matter.
- Avoid hastily signing the Aufhebungsvertrag. Before signing, you should consult with a lawyer or contact the Labor Advice Center (Beratungsstelle für Arbeitsrecht). Not all agreements protect against Sperrzeit, especially if they do not mention dismissal at the initiative of the employer.
If Sperrzeit has already been set: how to appeal it
If the Federal Labor Agency nevertheless decides on a Sperrzeit, it can be appealed within one month from the date of receipt of the written notification. The order is as follows:
- Submit a written objection (Widerspruch) to the branch of the Agentur für Arbeit that made the decision.
- Add additional evidence that was not available at the time of the initial submission: medical certificates, letters, explanations.
- In case of refusal, file a claim with the Social Security Court (Sozialgericht). The procedure is available free of charge, with the participation of a lawyer or independently.
- Contact free consulting services. In Germany, there is a network of independent employee assistance centers that can provide legal support without the need for a large budget.
Dismissal in Germany is not only the termination of an employment contract, but also a complex legal event with direct consequences for finances, health insurance, future employment and even right of residence. Foreigners, in particular, Ukrainians, who are often unfamiliar with the intricacies of German labor law and may lose state support due to formalities, should be especially attentive to such decisions.
In order to avoid unexpected consequences, it is worth preparing for dismissal in advance, recording all the circumstances, contacting lawyers and not leaving any decision without appeal if it seems unfair. In a system that grants many rights, the one who survives is not the one who is silent, but the one who knows his rights and knows how to protect them.