Dear Friends,

Please guide me in the following situation:
- I am an Indian having NE.
- Doing good as software engr. in company-A with unlimited time work-contract and probation period is also over, 3 months of notice period is written in work-contract.

Now I have got a very good (technically) offer from company-B but limited to 2 years only.

So, I would like to know what will happen to me when this work-contract is over in next 2 years and I am not able to find a new job:
- Will I be eligible for social benifits like arbetlosgeld ect.?
- What are the all negative points of this limited type of contract?

Please write your experieces.

Thanks in advance..

Best Regards,
Ramsam

- Will I be eligible for social benifits like arbetlosgeld ect.?

Yes

- What are the all negative points of this limited type of contract?

No negative points. Having an unlimited contract doesnt mean the project is for your life time or?

With limited information, you have provided. Assuming Company A and B are the same.

At the outset, I dont think the contract duration would do any harm.

From the company perspective, an unlimited contract is not really unlimited. They could force people to take up limited contracts or create situations wherein an employee would resign.

In a scenario, where recruitments are frozen, then extention of a limited contract may not be immediately possible. This is only disadvantate I see.

- What are the all negative points of this limited type of contract?

Companies in Germany tend to offer their employees with unlimited contracts(regular employees) compensation packages in case they have to fire them. Depending on the situation you can get a handsome sum from the company if they want to fire you. With unlimited contract you can create the company a lot of trouble because of the so called "Kündigungsschutz"(Dismissal protection) in case they decide to fire you. That's why you can get the compensation package from the company by signing a document stating that you agree with the dismissal and wont bring the case to trial.

With limited contract you dont have this "Dismissal protection" and if things go wrong, you will be the first to get the kick on your ass(even before the expiry date of your limited contract), as the other regular employees of the company can create trouble regarding their dismissal but you simply can't with a limited contract.

Limited contracts also signal the lack of company's interest in your skills in the long term. You will probably not be able to have a clear career path with the limited contract and they can exclude you from the (technical) trainings which are only offered to the regular employees, as they serve the long term interest of the company.

My experience is that the employees with limited contracts in middle sized and big German companies are simply second class citizens. In a startup or small sized company the type of your contract probably wont matter that much.

Regards,

Lacrima

Dear Friends,

Thanks a lot for your kind suggestions and for your time. This information is very helpful.

Best Regards,
Ramsam