The building with foreign subcontractorsespecially from Eastern Europe, can offer many advantages. These include low-cost labour and specialist expertise. However, there are important legal aspects that need to be considered. What are the legal aspects of building with foreign subcontractors? In this article, we explain what is legally important when you are building with foreign subcontractors.

Advantages of building with subcontractors from Eastern Europe

When building with Subcontractors from Eastern Europe companies benefit from numerous specific advantages. Here are some of the most important:

• Cost efficiencySubcontractors from Eastern Europe often offer cheaper labour costs, which leads to considerable savings on construction projects.
• ExpertiseMany Eastern European professionals have specialised know-how in building and construction, which contributes to the quality and efficiency of the project.
• FlexibilityThese subcontractors are often very flexible and can quickly adapt to changing requirements and schedules on the construction site.

These advantages enable construction companies to realise their projects more efficiently and cost-effectively, while at the same time ensuring high-quality construction services.

Legal basis for the use of foreign subcontractors

When building with foreign subcontractors, compliance with legal regulations is crucial. Here are the most important points:

1 Temporary Employment Act (AÜG)

The Temporary Employment Act regulates the hiring out of workers. If you use Eastern European subcontractors, you must ensure that all provisions of the AÜG are complied with. This protects both the client and the workers.

2. secondment law

The Posted Workers Act is relevant when subcontractors are posted from Eastern Europe. It stipulates that these workers must be given the same conditions as German workers. This includes wages, working hours and holidays.

3. work permits and visas

In many cases, subcontractors from Eastern Europe require work permits and visas. Make sure that all legal documents are available and validto avoid legal problems.

Contractual aspects when using subcontractors from Eastern Europe

Clear contractual regulations are essential when using Eastern European subcontractors. Here are the most important points that should be included in the contracts:

• Service descriptionClear definition of the services to be provided.
• Remuneration: Exact indication of remuneration and terms of payment.
• LiabilityRegulation of liability in the event of defects or delays.
• Terms of cancellationClear regulations for cancelling the contract.

Precise contractual regulations can avoid misunderstandings and ensure smooth cooperation.

Checklist for the use of foreign subcontractors

To minimise the use of foreign subcontractors successfully, thorough preparation is essential. Here is a checklist to help you consider all the important points:

• Check compliance with the German Temporary Employment Act (AÜG).
• Ensure that the Posted Workers Act is complied with.
• Check that you have all the necessary work permits and visas.
• Draw up clear contracts with service descriptions, remuneration, liability and cancellation conditions.
• Carry out regular checks and document all relevant information.
• Maintain open communication with subcontractors.

By adhering to this checklist, you can organise your cooperation with foreign subcontractors efficiently and with legal certainty.

Study on the evaluation of the Temporary Employment Act (AÜG)

A current study by the Federal Ministry of Labour and Social Affairs (BMAS) on the evaluation of the Temporary Employment Act (AÜG) provides valuable insights into the practice of employee leasing and its legal framework. The study that you here analyses the impact and effectiveness of the AÜG since its introduction.

Key findings of the study

The study on the evaluation of the Temporary Employment Act provides valuable insights. Here are a few points:

1. Legal conformityThe study shows that the AÜG is largely complied with, but there are still challenges in implementing it in practice.
2. Transparency and controlIt is emphasised that increased control and transparency are necessary to prevent abuse and ensure fair working conditions.
3. Need for improvementThe study identifies areas in which the law can be improved in order to increase the protection of employees and ensure legal certainty for employers.

These findings are crucial for further optimising the legal framework and creating a fair working environment.

Significance for the use of foreign subcontractors

For companies that work with Eastern European subcontractors, it is crucial to take the findings of this study into account. The Compliance with the AÜG is a key aspect of avoiding legal problems and ensuring fair working conditions. 

By implementing the procedures highlighted in the study, companies can organise their collaboration with foreign subcontractors efficiently and with legal certainty.

Conclusion

Building with foreign subcontractors and what is legally important is a complex topic that Careful planning and control requires. Subcontractors from Eastern Europe can offer many advantages if all legal and contractual aspects are taken into account. 

Through the Compliance with legal regulations and a clear contractual arrangement, you can ensure that your construction project is carried out successfully and legally secure. Use the tips and checklists mentioned above, to ensure smooth cooperation with Eastern European subcontractors.

How Temporary Work International can support you

Temporary Work International is an experienced partner that supports companies in the use of foreign subcontractors. We can help you, fulfil all legal requirements and offer comprehensive services such as obtaining work permits and visas, monitoring compliance with the Posted Workers Act and drawing up clear contractual agreements. 

With our support, you can ensure that your construction project is smoothly and legally secure. Place your trust in Temporary Work Internationalto successfully organise your cooperation with Eastern European subcontractors.

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