Grounds for Dismissal in Employment Law – When Must an Employer State a Reason?

Key Takeaways

An employer does not always have to state a specific reason in the letter of dismissal. Whether a dismissal is nevertheless valid depends on whether a legally recognized ground for dismissal actually exists. An obligation to provide reasons only exists in certain cases – for example, in the case of extraordinary dismissal (without notice), involvement of the works council, or when the Protection Against Dismissal Act applies. Even if the reason is missing from the letter, the employer must present and prove it comprehensibly in court at the latest in the event of a dispute.

  1. When must a reason for dismissal be stated and when not?
  2. Which grounds for dismissal are legally permissible?
  3. What rules apply in the event of a summary dismissal?
  4. How can one defend against a dismissal without cause?
  5. What special rules apply during the probationary period?
  6. Conclusion
  7. FAQ

1. When must a reason for dismissal be stated and when not?

Generally, the employer does not have to state reasons in the letter of dismissal. The obligation to state reasons for dismissal depends on various factors:

No obligation to state a reason exists:

  • During the probationary period
  • In small businesses with up to 10 employees
  • Within the first 6 months of employment


Statement of reason is required:

  • In businesses with more than 10 employees after 6 months of employment
  • For extraordinary (without notice) dismissals
  • When the works council must be involved


Example: An employer with 15 employees dismissed a long-term employee without stating reasons. In the subsequent unfair dismissal proceedings, the employer had to present and prove the reasons.

2. Which grounds for dismissal are legally permissible?

The Protection Against Dismissal Act recognizes three types of grounds for dismissal:

Personal reasons, e.g.:

  • Long-term illness
  • Frequent short-term illnesses
  • Lack of qualification
  • Loss of necessary permits (e.g., driver’s license)


Behavioral reasons
, e.g.:

  • Repeated refusal to work
  • Frequent tardiness
  • Theft or fraud
  • Insults to superiors or colleagues


Operational reasons
, e.g.:

  • Elimination of the job
  • Restructuring
  • Business closure
  • Lack of orders

3. What applies to extraordinary dismissal (without notice)?

Special rules apply to extraordinary dismissals:

  • Reason must always be communicated in writing
  • Notification immediately upon employee’s request
  • Two-week period for issuing dismissal after knowledge of reasons
  • Only permissible for serious breaches


Important prerequisites:

  • Important reason required
  • Prior warning often necessary
  • Balancing of interests must make continuation unreasonable

4. How can one defend against a dismissal without cause?

The following steps are recommended:

  1. File an unfair dismissal claim within 3 weeks
  2. Written request for the reasons for dismissal
  3. Involve the works council (if applicable)
  4. Secure evidence and name witnesses


Example: An employee received a dismissal without justification. In the unfair dismissal proceedings, the employer could not present any comprehensible reasons. The dismissal was declared invalid.

5. What special rules apply during the probationary period?

During the probationary period, the following applies:

  • No obligation to state a reason
  • Shorter notice period (2 weeks)
  • No general protection against dismissal
  • However: Protection against discriminatory dismissals


Exceptions to the free right of dismissal:

  • Pregnancy
  • Severe disability
  • Prohibition of discrimination under the AGG

6. Conclusion

The question of whether reasons must be stated for a dismissal cannot be answered generally. It depends on various factors such as company size, length of employment, and type of dismissal. In many cases, the employer does not have to state reasons in the letter of dismissal itself, but must present and prove them at the latest in unfair dismissal proceedings.

It is important for employees to know their rights and to act quickly in the event of a dismissal. The three-week period for filing a claim must be strictly observed. Legal advice can help assess the chances of success of an unfair dismissal claim.

7. FAQ

No, generally the employer does not have to state a reason in the letter of dismissal. However, it is crucial that a legally permissible ground for dismissal actually exists, otherwise the dismissal may be invalid.

An obligation to provide reasons exists particularly for extraordinary (without notice) dismissals, for a dismissal during the probationary period according to the BBiG (e.g., for apprentices), or when the works council is involved. Also, within the framework of the Protection Against Dismissal Act, the employer must explain the reasons for dismissal in the event of a dispute.

The absence of a reason in the letter does not automatically lead to the invalidity of the dismissal. However, the employer must be able to present and prove the reason upon request or at the latest in court.

Employees can file an unfair dismissal claim with the labor court within three weeks of receiving the dismissal. The court will then examine whether a valid reason for dismissal existed and whether the dismissal was formally correct.

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Last updated on 25. June 2026

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