Unfair Dismissal Claim: How Proceedings Before the Labour Court Work

Your dismissal is on the table and the clock is ticking. I explain which deadline matters, how the conciliation hearing works and what to expect at each stage of the proceedings.

You have received a notice of dismissal and you are not sure what to do next. Perhaps you have heard that you need to “act quickly and bring a claim”. But how quickly, against what exactly, and what happens then, once you are before the court? That uncertainty often costs valuable time — and it is precisely the first few days after the dismissal reaches you that count.

In short

From the moment the written notice of dismissal reaches you, you have exactly three weeks to bring an unfair dismissal claim before the labour court. If you miss that deadline, the dismissal will, as a rule, be treated as valid from the outset — even if it was actually unlawful. The proceedings begin with a conciliation hearing, which usually takes place within a few weeks and often ends there and then with a settlement. If no agreement is reached, a full hearing before the chamber follows, with the taking of evidence and a judgment. At first instance, each party bears its own legal costs regardless of the outcome.

How I can help you

• Immediate review of your dismissal for validity and the point at which the deadline starts to run
• Filing the claim in good time with the competent labour court to protect the deadline
• Preparing for and attending the conciliation hearing, including a realistic assessment of the prospects of settlement
• Representing you in the contested proceedings, including the presentation of evidence, if no agreement is reached
• Clarifying related questions such as severance pay, your reference, continued employment or release from work

The three-week deadline: the most important date in your calendar

Under Section 4 KSchG, you must bring a claim before the labour court within three weeks of the written notice of dismissal reaching you. This applies to any dismissal that you consider socially unjustified or invalid on other grounds. The deadline applies regardless of whether the Protection Against Dismissal Act (Kündigungsschutzgesetz) applies to your employment relationship at all. In principle it applies to every dismissal you wish to challenge — including where there are formal or other defects.

What matters is when the notice reaches you, not the date on the dismissal letter. A letter is generally treated as having reached you as soon as it is in your letterbox and you could, under normal circumstances, have read it. Whether you actually read it is irrelevant. So leaving the envelope unopened does not buy you any time.

If you miss the deadline, Section 7 KSchG applies: the dismissal is then treated as legally valid from the outset. This is one of the harshest consequences in German employment law — even a clearly defective dismissal is cured by the mere passage of time. Only in narrowly defined exceptional cases does Section 5 KSchG still allow a claim to be brought after the event. That applies, for example, where you were unable to meet the deadline despite exercising all reasonable care — such as a serious illness with no one able to act on your behalf. The application for this must then be made within two weeks of the obstacle falling away, and at the latest within six months after the deadline expired.

How the proceedings unfold: from claim to judgment

1. Filing the claim. The claim is filed with the labour court that has local jurisdiction — usually where you worked or where the employer has its registered office. There is no requirement to be represented by a lawyer at first instance. However, sound legal representation significantly improves your prospects of success, because deadlines and the burden of proof have to be handled with strategic care.

2. Conciliation hearing. Under Section 61a ArbGG, unfair dismissal proceedings are subject to a special duty of expedition: the conciliation hearing is to take place within two weeks of the claim being filed. At this hearing, the presiding judge — sitting without the lay judges — tries to mediate between you and the employer. A large proportion of all unfair dismissal proceedings end at this stage, usually by way of a settlement, often combined with a severance payment in return for terminating the employment relationship.

3. Contested hearing. If no agreement is reached, the presiding judge sets deadlines of at least two weeks each for the written statement of defence and the reply, and fixes a date for the chamber hearing. There the chamber, sitting with two lay judges, decides on any applications to take evidence and, where appropriate, hears witnesses. At the end it hands down a judgment or once again proposes a settlement.

4. Appeal. Under certain conditions, an appeal against the judgment of the labour court may be brought before the regional labour court (Landesarbeitsgericht).

Costs: why it pays to do the maths

One point takes many clients by surprise. Under Section 12a ArbGG, the successful party in first-instance judgment proceedings is not reimbursed for the other side’s legal costs — regardless of who wins. In principle, then, you bear your own legal costs — even if the court decides in your favour. You should factor this in when deciding whether to bring a claim or when entering settlement negotiations. Legal expenses insurance or legal aid can cushion this burden. I will discuss the specific costs of your case with you at our initial consultation.

An example scenario

An employee receives written notice of dismissal on the 3rd of the month for allegedly repeated lateness. He is unsure whether the earlier written warnings were even relevant. At first he waits to see whether the employer “might yet be open to reason”. Only in the third week does he seek legal advice. By then, only a few days remain to file the claim in time. The claim is filed in good time. At the conciliation hearing it becomes clear that the written warnings were formally defective. The proceedings end with a settlement providing for a severance payment and a favourable reference.

Common mistakes

• Waiting too long. Anyone who only consults a lawyer in the final week of the deadline leaves barely any time for careful preparation.
• Confusing the date of dismissal with the date it was received. For the deadline, what counts is when you received the letter — not when it was signed or sent.
• Doing nothing because negotiations are ongoing. Even if you are discussing an amicable solution with your employer, the claim deadline keeps running. Without a claim to protect the deadline, you lose your rights despite the ongoing talks.
• Leaving post unopened. Leaving a notice of dismissal in your letterbox does not push back the start of the deadline.
• Underestimating the evidence. Anyone who walks into the conciliation hearing unprepared often gives away room for negotiation. The grounds for dismissal can then no longer be cleanly rebutted.

Frequently asked questions

Do I need a lawyer to bring an unfair dismissal claim?

Before the labour court there is no requirement to be represented by a lawyer at first instance. In theory, you can file the claim yourself. In practice, however, legal representation is strongly recommended, because deadlines, questions of the burden of proof and settlement negotiations often determine the economic outcome.

What happens if I miss the three-week deadline?

As a rule, the dismissal is then treated as valid from the outset, even if it was in fact unlawful. Only in narrowly defined exceptional cases — such as being prevented from acting through no fault of your own — will the court still allow the claim to be brought after the event. You must make the relevant application within tight deadlines.

Do I automatically receive severance pay if I bring a claim?

No. In most cases there is no automatic statutory entitlement to severance pay. In practice, severance payments usually arise as part of a settlement, where both sides wish to avoid contentiously continuing the employment relationship.

Do I have to keep working during the proceedings?

That depends on the individual case — for example, whether the employer has released you from work or whether you are asserting a claim to continued employment. I will discuss this separately with you, as it affects both continued pay and your negotiating position.

How long does an unfair dismissal case take overall?

Because of the statutory duty of expedition, the conciliation hearing is to take place within two weeks of the claim being filed. Many cases end there. If it comes to a contested hearing with the taking of evidence, the proceedings can drag on for several months, depending on the court’s workload and the complexity of the case.

Your next step

Every day after your dismissal reaches you counts against the three-week deadline. Do not wait for the situation to resolve itself. Get in touch with me promptly for an initial assessment: I will review your dismissal, protect the deadline and guide you through the conciliation hearing to a solution that works for you. You can find out more about my work in employment law at /en/topics/employment-law.

This article provides general information and is no substitute for legal advice in an individual case.

This article provides general information and is no substitute for legal advice in an individual case. Last updated: 2026-08-23.

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