Sending Employees to Germany: Work Authorization and Visas for U.S. Companies
Your technicians are booked to install equipment at a customer’s plant in Germany. Before they board, two questions need a clear answer: are they allowed to work there, and on what legal basis may they stay? We answer both under German law, make the filings, and brief your travelers before they leave.
We are a German law practice based in Denver, Colorado. Nicola Casper-Hoesl is a German-qualified attorney (Rechtsanwältin, admitted to the Munich Bar) and a Foreign Legal Consultant in Colorado. We work in English, on U.S. business hours, and deal directly with the German Federal Employment Agency, German consulates and German immigration offices.
Who we work with
- U.S. manufacturers and equipment suppliers that send engineers and technicians to install, assemble, commission, maintain or repair machinery sold to German customers
- Service and engineering companies whose staff support projects in Germany for days, weeks or months
- Companies with German affiliates transferring managers and specialists within the group
- HR and mobility teams that need a reliable, repeatable process for recurring trips
Two questions German law asks separately
German law treats the right to work and the right to stay as separate questions, and each can have a different answer.
1. Is permission to work required? Employment of a foreign national in Germany generally requires approval by the Federal Employment Agency (Bundesagentur für Arbeit), unless an exemption in the German Employment Ordinance (Beschäftigungsverordnung, BeschV) applies.
2. Is a residence title required? U.S. citizens may enter the Schengen area without a visa for short stays. That privilege, however, generally does not cover gainful activity. Only certain activities, listed in the Employment Ordinance, may be carried out on a visa-free short stay (section 17 (2) of the German Residence Ordinance, AufenthV).
A correct assessment answers both questions for each traveler and each assignment.
Short assignments: installation, assembly and service work
German law contains a specific exemption for employees of a foreign company who come to Germany to install, assemble, set up, maintain or repair machinery, plant or software that was ordered from their own employer, or to instruct others in its operation (section 19 (1) BeschV). Where it applies, no work permit and no visa are needed for up to 90 days within twelve months.
The exemption is narrower than it looks, and it has conditions:
- Advance notification. For installation and repair work, the employer must notify the Federal Employment Agency before work begins. The notification is a condition of the exemption itself. It cannot be made up for afterwards. Without it, the work is unauthorized employment from the first hour.
- The equipment must come from the employer. The exemption covers work on equipment your company sold or supplied. It does not cover staff who simply provide labor on someone else’s equipment.
- Your company directs the work. If your staff take instructions from the German customer, or if the customer’s staff work under your direction, German rules on personnel leasing (Arbeitnehmerüberlassungsgesetz, AÜG) come into play. The consequences can include fines and, in some cases, an employment relationship deemed to exist with the other company.
- The paperwork has to match what happens on site. The contract and the description of activities are filed with the agency. Scope documents, customer confirmations and on-site practice should all tell the same story.
- Some work is reserved to German-qualified trades. Electrical installation, for example, must be carried out by a qualified electrician under German rules. U.S. credentials generally do not satisfy that requirement.
Other short visits are covered by separate rules. Business meetings, negotiations and trade fair attendance generally fall under the business-traveler provisions (section 16 BeschV). Trade fair booth assembly and several other activities have their own exemptions. We identify the rule that fits the actual activity.
Two different 90-day limits
This is one of the most common mistakes we see.
- 90 days within twelve months is the limit for the work exemption. It counts working days in Germany.
- 90 days within any 180 days is the Schengen short-stay limit. It counts every day of presence in any Schengen country, for any purpose, including vacations. It is enforced at the border, where travelers’ entries and exits are now recorded electronically under the EU Entry/Exit System.
A traveler can be well within one limit and in breach of the other.
Longer assignments and relocations
If an assignment goes beyond 90 days, or your employee is moving to Germany, a residence permit is needed. Depending on the facts, the options include:
- Approval for longer installation projects under section 19 (2) BeschV, for assignments that run beyond the 90-day exemption
- ICT Card for managers, specialists and trainees transferred within a corporate group (section 19 of the German Residence Act, AufenthG)
- EU Blue Card for university graduates and certain IT specialists meeting the annual salary threshold (section 18g AufenthG)
- Residence permits for skilled workers with a recognized vocational or academic qualification (sections 18a and 18b AufenthG), including the accelerated skilled-worker procedure (section 81a AufenthG)
U.S. citizens have one specific advantage. They may enter Germany without a visa and apply for the residence permit after arrival, including a permit for employment (section 41 AufenthV). They may not start work until the permit or an equivalent authorization has been granted. Planned correctly, this can save weeks of consular waiting time.
Beyond the permit: posting compliance
Work authorization is the first step. Depending on the length and nature of the assignment, other rules may apply to your employees in Germany. We point these out in our assessment and coordinate with your U.S. advisors where needed:
- Minimum wage and working time. The German minimum wage and the Working Hours Act (Arbeitszeitgesetz) can apply to employees working in Germany, including limits on daily hours and Sunday work. In certain sectors, including construction, the assignment must also be registered with German customs in advance.
- Social security. Employees temporarily posted to Germany by a U.S. employer often remain covered only by the U.S. system. This follows from German law and from the U.S.–German Social Security Agreement.
- Tax. Short assignments usually do not trigger German income tax for the employee under the U.S.–German tax treaty. Longer projects can create a taxable presence (permanent establishment) for your company in Germany. We work with your CPA on the U.S. side.
- Registration and insurance. Longer stays require address registration in Germany. Health and accident cover for the time abroad should be confirmed before departure.
How we work
- Assessment. We review your contract, the scope of work and the travel plan, and give you a written opinion on whether a permit is needed and which route applies. It includes a precise list of what we need from you and by when.
- Filing or application. If an exemption applies, we prepare and file the notification with the Federal Employment Agency and get the confirmation on file. If a permit is needed, we manage the application with the agency, the German consulate or the local immigration office.
- Traveler briefing. Before the first departure, your travelers receive a short written briefing on what to carry, what to say at the border, what they may and may not do on site, and how to count their days. We stay reachable while they are in Germany.
Our fees are flat fees, agreed in writing before any work begins. The assessment fee is credited against the next step.
What to send us for a first review
- The purchase order or contract with the German customer
- A short description of the work to be done in Germany
- The number of travelers, their nationalities and the planned travel dates
Frequently asked questions
Our employees are U.S. citizens. Do they need a visa for a two-week installation job?
Often not, provided the work falls under an exemption and, for installation and repair work, the Federal Employment Agency has been notified in advance. Whether the exemption applies depends on the contract and on what your team actually does on site.
The work has already started. Can we still file the notification?
Not with retroactive effect. The notification must be on file before work begins. If work has started without it, please contact us immediately so we can assess the position and set up a correct basis for the remaining work.
The project is running late and will take longer than 90 days. What now?
The exemption ends at 90 days within twelve months. Before that limit is reached, a residence permit with approval for employment is needed. Because U.S. citizens can apply from within Germany, an extension can often be arranged without anyone leaving the country, if it is started in time.
One of our technicians holds a second nationality. Does that matter?
It can. Visa-free entry depends on the passport used. Travelers who enter on a non-U.S. passport may need a visa arranged well in advance.
Do you advise on U.S. immigration, tax or employment law?
No. We advise on German law. For U.S. payroll, tax and benefits questions, we coordinate with your U.S. attorneys and CPAs.
This page provides general information about German law and does not constitute legal advice. Reading it or contacting us does not create an attorney–client relationship. Nicola Casper-Hoesl is a German-qualified attorney (Rechtsanwältin) and practices in Colorado as a Foreign Legal Consultant. She does not advise on U.S. law. Where U.S. legal or tax questions arise, we work together with U.S. attorneys and CPAs.
