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Release after termination: revocable or irrevocable?

After a termination, employers often release employees until the end of the contract. What is decisive is whether the release is revocable or irrevocable and whether leave is credited; on this depends whether your leave is fulfilled and whether you may keep other earnings.

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Your chances of getting your money back

During a release your pay claim in principle continues; you are paid without working (default of acceptance, § 615 BGB).
Only an irrevocable release also fulfils the leave entitlement at the same time. In the case of an irrevocable release you can often already take up a new position, but a post-contractual earning is sometimes credited.

What you should do now

  1. 1

    1. Check the release declaration

    Does it state 'irrevocable' and 'with credit of leave'? That clarifies leave and your freedoms.

  2. 2

    2. Secure continued pay

    Ensure that salary, bonuses and benefits in kind continue until the end of the contract.

  3. 3

    3. Clarify a new activity

    In the case of an irrevocable release you may often already work elsewhere; but check crediting and any non-compete clause.

  4. 4

    4. Clarify ambiguities in writing

    Have ambiguous wordings clarified in writing by the employer before you act.

How to spot the scam

  • The release is only 'revocable'; then leave may not be fulfilled and you must remain on call.
  • It is unclear whether and how a new earning is credited.
  • Benefits in kind (a company car) are supposed to cease immediately without a basis.

Frequently asked questions

Do I continue to get pay during the release?

Yes. If the employer releases you, they continue to owe you the remuneration until the end of the employment relationship (default of acceptance, § 615 BGB), even if you do not work.

May I already take up a new position?

In the case of an irrevocable release, as a rule yes, provided no non-compete clause stands in the way. But note: an earning achieved during this time can under certain circumstances be credited.

Is my leave fulfilled by the release?

Only if the release is irrevocable and expressly with credit of the leave. A revocable release usually does not fulfil the leave entitlement.

Take action now

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General information for self-help, not legal advice (RDG). In case of a high loss or uncertainty: contact a consumer advice center or a lawyer.