Document background
The Memorandum of Understanding Between Employer and Employee is a crucial preliminary document used in German employment relationships to establish clear expectations and understanding before finalizing a formal employment contract. This document is typically used during the pre-employment phase when both parties have agreed in principle to an employment relationship but need to document the key terms for further discussion or approval. It includes essential information required under German labor law such as position details, compensation structure, working hours, and basic employment terms, while clearly maintaining its preliminary, non-binding nature. The MOU serves as a bridge between initial employment discussions and the final employment contract, particularly useful in complex hiring situations, senior positions, or when there are specific terms that need to be agreed upon before proceeding with formal documentation.
