Severance in Munich – Your Options Without Upfront Fees
Reviewed by specialized labor lawyers · Updated: May 2026
Table of contents
Severance in Munich
Munich is Germany's second-largest labour market and one of the strongest economies in Europe. BMW, Allianz, Munich Re, Siemens, MAN, Linde, Wacker, BR and a thriving tech scene shape the picture.
A termination or termination agreement in Munich almost always leaves real room to negotiate – provided you act quickly and correctly.
Munich labour court
Jurisdiction: Arbeitsgericht München, Winzererstraße 104, 80797 Munich. Appeals are decided by the Landesarbeitsgericht München at the same site.
An in-person appearance is usually only needed for the conciliation hearing – and even then only when the court expressly requires it. Many matters settle before that point.
3-week deadline
A wrongful-dismissal claim must be filed within three weeks of the termination being delivered (§ 4 KSchG). Without that filing the termination is treated as valid – and the basis for negotiation disappears.
Munich focus sectors
- Automotive: BMW (HQ + R&D), Audi-adjacent suppliers, MAN Truck & Bus.
- IT & tech: Microsoft, Google Munich, SAP, a broad startup ecosystem.
- Insurance & reinsurance: Allianz, Munich Re, ERGO.
- Mechanical & industrial: Siemens, Linde, KraussMaffei.
- Aerospace: Airbus Defence & Space (Ottobrunn/Taufkirchen), MTU Aero Engines.
Large Munich employers are usually tariff-bound – which strengthens your position, because social plans with clear severance factors are often already in place. We use these as a solid anchor. See also our page on severance at Bosch – Bosch maintains multiple large sites in southern Germany.
What severance is realistic in Munich?
Starting rule: 0.5 gross monthly salaries × years of service. Actual settlements in Munich often land at 0.75 to 1.25 gross monthly salaries per year of service.
Higher amounts are realistic with: disability, pregnancy, works-council membership, weakly grounded terminations, or social-plan-related matters.
Working with Team Abfindung
- Free first call: quick first assessment.
- Engagement: litigation funding, no upfront payment.
- Out-of-court negotiation or claim at the Arbeitsgericht München.
- Settlement or judgement – usually at the conciliation hearing.
No cost risk
Legal, court and (if needed) expert fees are on us. You carry no risk yourself. If we succeed, we keep an agreed share – no success, no cost.
Have your case reviewed now – the 3-week deadline doesn't wait.
Frequently asked questions
The Arbeitsgericht München sits at Winzererstraße 104, 80797 Munich (Schwabing-West district). Appeals are decided by the Landesarbeitsgericht München at the same address.
Above-average severances are most common in automotive and its suppliers (BMW and Audi-adjacent), IT/tech, insurance (Allianz, Munich Re) and mechanical engineering. Tariff-bound employers often negotiate on the basis of social plans with factor 1.0 or higher.
Do not sign immediately. Have it reviewed – including the impact on unemployment benefit (waiting period), holiday pay, bonus, and stock options. A proper review usually takes 24 to 48 hours.
Yes. We cover all of Bavaria. The competent court is the labour court at the employer's seat or the place of work – we clarify this in the first call.
On average parties settle within 2 to 4 months of the claim being filed. Severance is normally paid out a few weeks after the settlement is concluded.
Need legal support?
Our labor lawyers review your case free of charge and without obligation.