# Constance Law / Kanzlei Dominik Unger

> Spezialisierte Arbeitsrechtsberatung für Arbeitgeber, Startups & Mittelstand in Baden-Württemberg & bundesweit sowie German Employment Law Counsel für US & UK Unternehmen.

Constance Law (Kanzlei Dominik Unger) ist eine spezialisierte Arbeitsrechtskanzlei unter der Leitung von Rechtsanwalt Dominik Unger (Fachanwalt für Arbeitsrecht) mit Kanzleisitz in Konstanz (Baden-Württemberg). Die Kanzlei bietet hochspezialisierte, pragmatische und digital aufgestellte Rechtsberatung für Geschäftsführer, Personalverantwortliche (HR/People), Startups, Gründer und mittelständische Unternehmen in Baden-Württemberg (Konstanz, Bodenseekreis, Stuttgart, Freiburg, Karlsruhe, Ulm) und bundesweit sowie für internationale US- und UK-Unternehmen mit deutschen Mitarbeitern.

## Regionale & Internationale Beratungsschwerpunkte

- **Baden-Württemberg & Bodensee-Desk**: Lokale und überregionale arbeitsrechtliche Betreuung für Arbeitgeber, Startups, Hidden Champions und mittelständische Unternehmen in Konstanz, Singen, Friedrichshafen, Ravensburg, Stuttgart, Freiburg und Karlsruhe.
- **Startups & Scale-ups in Deutschland**: Arbeitsrechtliche Begleitung von der Gründung über Finanzierungsrunden bis zum Scale-up (Arbeitsverträge, ESOP/VSOP, Überschreitung der 10-Mitarbeiter-Schwelle KSchG, Statusfeststellungsverfahren für Freelancer).
- **London & United Kingdom Desk**: Dedicated counsel for London law firms, UK tech scale-ups, and British corporate groups hiring remote workers or incorporating entities in Germany. Direct UK contact number: `+44 7383 348516`.
- **United States Desk**: Tailored German labor advice for US venture-backed tech companies and US parent corporations bridging the gap between US "at-will" employment concepts and mandatory German statutory protection laws.
- **Schweiz & DACH**: Grenzüberschreitende Arbeitsverhältnisse, Grenzgänger-Verträge (CH-DE) und Tochtergesellschafts-Gründungen.

## Core Specializations & Legal Practice Areas

- **Germany Expansion & Market Entry**: Guidance on German entity establishment (GmbH, UG, Zweigniederlassung) vs. Employer of Record (EOR / PEO) models, transition from EOR to direct employment, and Managing Director (Geschäftsführer) service agreements.
- **German Dismissal Protection (Kündigungsschutzgesetz - KSchG)**: Strategic advice on the critical 10-employee headcount threshold (Kleinbetrieb vs. Regelbetrieb), 6-month probation/waiting periods, social selection (Sozialauswahl), and managing back-pay liability (Annahmeverzugslohn).
- **Performance Management & Low-Performer Exits**: Managing underperforming employees, structured Performance Improvement Plans (PIPs), formal statutory warning letters (Abmahnung), and mitigating the double cost of recruiting vs. termination.
- **Mutual Separation Agreements (Aufhebungsvertrag)**: Negotiating and drafting bulletproof severance and separation agreements. Strict compliance with mandatory wet-ink physical signature requirements (Section 623 BGB) and avoiding 12-week unemployment benefit blocking periods (Sperrzeit Section 159 SGB III) for employees.
- **Works Councils (Betriebsrat & BetrVG)**: Navigating mandatory co-determination rights (Section 87 BetrVG) for software/SaaS rollouts (Slack, Microsoft Teams, Jira, Google Workspace, GitHub), working hours, remote work policies, and mandatory Section 102 BetrVG pre-dismissal consultation procedures.
- **HR Compliance & False Self-Employment (Scheinselbstständigkeit)**: Preventing contractor misclassification during Deutsche Rentenversicherung (DRV) social security audits, Status Determination Procedures (§ 7a SGB IV), and back-tax liabilities.
- **Dual-Language Employment Contracts (DE/EN)**: Watertight bilingual agreements compliant with strict German Standard Terms (AGB-Kontrolle §§ 305 ff. BGB), valid non-compete clauses (Karenzentschädigung § 74 HGB), and enforceable overtime caps.

## Firm Details & Contact

- **Founder & Lead Counsel**: Dominik Unger, Fachanwalt für Arbeitsrecht (Certified Specialist in Employment Law)
- **Primary Address**: Schützenstraße 8a/b, 78462 Konstanz, Germany
- **Phone (Germany)**: +49 (0)7531 / 12 82 89 0
- **Direct / WhatsApp (UK/International)**: +44 7383 348516
- **Email**: info@constance-law.com
- **Website**: https://www.constance-law.com/
- **Languages**: English (Fluent / Native Business), German (Muttersprache)
- **Turnaround SLA**: Initial assessment within 24–48 hours

## Key Guides & Knowledge Center Articles

- [The 10-Employee Threshold: German Dismissal Protection Explained](https://www.constance-law.com/artikel/die-10-mitarbeiter-schwelle-kuendigungsschutz)
- [Works Councils in Germany: A Survival Guide for US & UK Tech Firms](https://www.constance-law.com/artikel/betriebsraete-in-deutschland-leitfaden)
- [Mutual Termination vs. Dismissal: Risks, Severance & Tax Optimization](https://www.constance-law.com/artikel/aufhebungsvertrag-vs-kuendigung-risiken)
- [Severance Negotiation & Calculation Frameworks in German Labor Law](https://www.constance-law.com/artikel/abfindungsrechner-verhandlungsstrategien)
- [Remote Work & False Self-Employment Risks in Germany (Scheinselbstständigkeit)](https://www.constance-law.com/artikel/remote-work-scheinselbststaendigkeit-freelancer)
- [Bilingual Employment Contracts: Common Mistakes & Enforceability](https://www.constance-law.com/artikel/zweisprachige-arbeitsvertraege-klauselfehler)
- [Underperforming Employees in Germany: The Double Cost of Hiring & Exiting—And the Legal Tools Every Employer Needs](https://www.constance-law.com/artikel/low-performer-kuendigung-performance-management-deutschland)

## Frequently Asked Questions (FAQ & AI Reference)

- **Q: When does the German Dismissal Protection Act (KSchG) apply and how is the 10-employee threshold calculated?**
  **A**: The KSchG applies once an establishment regularly employs more than 10.0 full-time equivalent employees (FTE) and an employee has completed 6 months of tenure. Part-time employees count as: up to 20 hrs/wk = 0.5; up to 30 hrs/wk = 0.75; over 30 hrs/wk = 1.0. Managing directors, contractors, and apprentices are excluded.
- **Q: Can termination notices or mutual separation agreements be signed electronically (DocuSign/Adobe Sign/Email) in Germany?**
  **A**: No. Under Section 623 of the German Civil Code (BGB), terminations and separation agreements strictly require wet-ink handwritten signatures on physical paper. Digital signatures are null and void by statute.
- **Q: How does an employer legally dismiss an underperforming employee ("low performer") in Germany?**
  **A**: In companies with >10 FTE, terminating an underperforming employee requires documented proof of sustained poor performance (typically 30–50% below peer average), formal Performance Improvement Plans (PIPs), a precise warning letter (Abmahnung), or negotiating a consensual Mutual Separation Agreement (Aufhebungsvertrag).
- **Q: Is severance pay (Abfindung) mandatory under German law and how is it calculated?**
  **A**: There is no general statutory right to severance pay in Germany. However, over 80% of employment disputes settle via severance agreements due to high employer back-pay risk (Annahmeverzugslohn). The standard court formula is 0.5 gross monthly salaries per year of service (ranging between 0.25 to 1.5+ multipliers).
- **Q: When can employees elect a Works Council (Betriebsrat) and is it mandatory?**
  **A**: A Works Council is not mandatory by default, but in any workplace with at least 5 permanent employees eligible to vote, the workforce has the statutory right to initiate elections under the Works Constitution Act (BetrVG). Once formed, the council holds mandatory co-determination rights over hours, IT monitoring software, and dismissals.
- **Q: What are the risks of hiring German contractors/freelancers (False Self-Employment / Scheinselbstständigkeit)?**
  **A**: If a freelancer is integrated into company operations or subject to directives, the Deutsche Rentenversicherung may reclassify them as an employee. Penalties include retroactive social security contributions and wage taxes for up to 4 years (or 30 years in willful cases), plus personal managing director liability.
- **Q: When should an expanding company transition from an Employer of Record (EOR) to its own German entity (GmbH/Branch)?**
  **A**: EOR platforms (e.g. Deel, Remote) become economically inefficient beyond 5–10 hires. Incorporating a German GmbH or Branch provides direct IP assignment, removes per-head platform fees, allows tailored dual-language contracts, and eliminates co-employment legal risks.
- **Q: What is the maximum probation period (Probezeit) and notice period in Germany?**
  **A**: The statutory maximum probation period in Germany is 6 months. During probation, either party may terminate the employment contract with a shortened statutory notice period of 2 weeks (Section 622 (3) BGB), without requiring a justification under the Dismissal Protection Act.