40 Euro lump sum default interest in employment law for late wages

Cologne Regional Labor Court, Judgment of 22.11.2016 - 12 Sat 524/16

The 12th Chamber of the Cologne Regional Labor Court ruled (12 May 524/16) that an employer who paid late or incomplete work wages has to pay a lump sum compensation of 40 euros to the employee pursuant to § 288 Paragraph 5 German Civil Code. The revision to the Federal Labor Court was allowed.

The 40-euro lump sum is an extension of the statutory provisions on the arrears, which also applies to claims for wages.

Further informations on Bundesministerium der Justiz und für Verbraucherschutz.

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