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Your AÜG License was denied – Professional Assistance in a Situation That Threatens Your Business’s Survival
Why Companies Rely on Specialized Legal Support
When the Federal Employment Agency (Bundesagentur für Arbeit) is considering revoking or withdrawing your labor leasing license (AÜG license), this is not a routine administrative procedure. For many staffing agencies, the very economic foundation of the entire company is at stake at this moment.
This is precisely why companies turn to our law firm:
Because we don’t “also” handle labour leasing — we specialize in it. We are taking care of hundreds of cases like yours, we know what we are doing. And usually we can save your license.
Is your AÜG license at risk of being denied or revoked?
Many companies only learn that their license may be at risk through a letter from the Federal Employment Agency.
Often, the allegations and findings involve:
- Violations of guaranteed wage requirements
- Violations of equal pay or collective tariff agreements
- Exceeding the maximum assignment duration
- Issues with social security or payroll processing
- Flawed contract drafting
- Errors in the calculation of vacation, sick leave, and holidays
- Doubts regarding the company’s or CEO’s reliability
Even a single and seemingly small complaint can be enough for the authorities to question your company’s reliability and to issue a hearing against you.
This is exactly where our work begins: We analyze the allegations and findings, develop a defense strategy, and handle all communication with the authorities — clearly, systematically, and always with an eye toward the financial implications for your business.
Specialized in labour leasing. We are not a general labor law firm.
Labor leasing is one of the most complex areas of labor law. Our specialization therefore makes all the difference in critical situations: Because when there is a threat of a license being denied or revoked, general knowledge of labor law is often insufficient. In such crisis situations, what counts is the combination of legal expertise and practical knowledge, as well as the dedicated action of experienced specialists. It also helps that we know the authority’s standards by heart and most of the clerks at the Federal Employment Agency by name already.
We therefore know the authorities’ review standards, typical points of attack, and the strategically crucial questions in AÜG proceedings — from numerous successfully concluded cases and proceedings.
Why clients choose our specialized law firm
Because experience in AÜG proceedings matters
Proceedings involving AÜG license rarely revolve solely around individual sections of the law. What matters is how authorities frame their arguments, what documentation they expect, and where their decisions can actually be challenged.
Our clients benefit from:
- Over 25 years of specialization in labor leasing
- Expertise gained from more than 1,000 cases handled
- In-depth knowledge of regulatory practices
- strategic advice rather than purely theoretical opinions
- rapid response to hearings and audits
- practical solutions with an eye toward ongoing business operations
Because economic consequences must be avoided
The revocation of a labor leasing (AÜG) license can have consequences threatening a company’s very existence:
- Jeopardy to customer relationships
- Loss of existing temporary staffing contracts
- Risk of fictitious employment relationships
- Fines and follow-up audits
- Reputational damage among customers and business partners
Our goal is clear: to secure your license and keep your company operational in the market.
Because swift and strategic action is crucial
Many proceedings can be influenced as early as the hearing stage — provided that you respond promptly and professionally.
We assist you with, among other things:
- Submitting statements to the Federal Employment Agency
- Defending against revocation or denial
- Preparing for audits
- Legal analysis of critical issues
- Optimizing contracts and internal processes
- If necessary, we also assist with the judicial enforcement of your rights, including in summary proceedings!
Secure specialized support now
If your AÜG license is at risk, you should not waste any time. Early legal support often significantly improves your defense options and can help prevent financial losses. We understand the crisis situation posed by an impending license revocation and know how to successfully navigate proceedings with the Federal Employment Agency.
Our law firm represents companies and leasing agencies nationwide in all matters related to labor leasing — with specialized expertise, experience, and strategic insight.
What to Do If Your AÜG License Is at Risk of Being Denied or Revoked?
Many companies react too late and underestimate the significance of the Federal Agency’s initial notice of a hearing — without being able to fully assess the legal consequences. Yet the course of action is often set very early on: The sooner you provide a substantive response to the objections, the better your chances of success.
Our law firm not only handles the legal assessment but also works with you to develop a concrete defense strategy.
Learn more
When should a permit bei denied?
Determination of Future Conduct Required
What should be done to prevent the revocation of the license?
When should a permit be denied?
Section 3 of the Temporary Employment Act (AÜG) provides as follows:
- A license or its renewal must be denied if there are facts that justify the assumption that the applicant
- lacks the necessary reliability, in particular because they do not comply with the provisions of social security law, regarding … wage tax, … employment placement, … employment of foreign nationals, … maximum duration of temporary assignment, … occupational safety law, or labor law obligations (para. 1 no. 1) = “general clause”
- is not capable of fulfilling the usual employer obligations due to the structure of their business organization (para. 1 no. 2)
- does not grant the temporary worker the working conditions to which they are entitled under § 8 (including remuneration) (para. 1 no. 3)
Determination of Future Conduct Required
In this context, the revocation of a permit depends less on past conduct than on whether the applicant will behave appropriately in the future. The following rules apply here:
- Courts always ask whether it is reasonable to expect that the holder of the AÜG permit will comply with legal requirements in the future? (BSG, Feb. 6, 1992 — 7 RAr 140/90)
- Assessment date: last oral hearing (BSG, loc. cit.)
- If the prognosis does not lead to a clear result, this is to the detriment of the licensing authority (BSG, loc. cit.)
- Of particular relevance are violations of “core obligations” (BSG, loc. cit.): These include compliance with regulations regarding compensation, vacation, and other monetary benefits (see LSG NRW, Feb. 19, 2019 — L 20 AL 188/18 B ER; LSG Saxony-Anhalt, Nov. 10, 2017 — L 2 AL 75/17 B ER)
- Also sufficient: an accumulation of circumstances that, taken individually, do not justify a denial (LSG Lower Saxony-Bremen, June 27, 2018 — L 7 AL 22/18 B ER)
Increasingly, decisions by the Federal Employment Agency are based on highly complex issues, such as whether the circumstances surrounding postings abroad have been correctly assessed under social security law, or whether the transfer of employees constituted a transfer of business.
However, even violations that are legally simpler to assess can have serious consequences, such as breaches of the guaranteed wage principle or the improper shifting of employment risk onto employees. Whatever the specific issue may be, the law firm AMETHYST Rechtsanwälte will advise and assist you competently, drawing on years of experience.
What can be done to prevent the revocation of the license?
Since the positive prognosis is based on facts, the main focus is on having your attorney explain why past mistakes will not be repeated and what can be done better in the future. Those affected should therefore point out to the BAfA / Federal Empl. Agency that
- an improvement is taking place
- this improvement is visible to the outside world, e.g., through:
- seminar bookings
- hiring of skilled personnel
- software purchases
- new contract templates
- conclusion of consulting agreements
Generally speaking, first-time violations tend to be less problematic, whereas subsequent violations are all the more problematic.
Our services at a glance
- Correspondence with the Federal Employment Agency
- Conducting appeal and legal proceedings
- Submitting urgent applications to social courts with the aim of overturning an order for the immediate enforcement of a refusal to grant a permit
- Challenging conditions imposed and reservations regarding revocation
- Preparation of expert reports on matters relevant to inspections (e.g. continued payment of wages, flexible working time arrangements, short-term assignments, posting arrangements, freelance status, etc.)
- File reviews
- Follow-up training where specialist knowledge is lacking
- Administrative fine proceedings against the Federal Employment Agency, including representation before the labour courts