I see multiple posts on this. Germany was and will remain in the realm of “Voluntary Layoffs”. Given the setup with Unions and local laws it’s very hard to lay off anyone, especially when you are profitable and making piles of money. SAP would have to be close to bankruptcy in order to invoke pure layoff like actions (similar to what’s happening in the USA right now). Now, you can argue if this is good or bad and it will depend on your vantage point, but the fact is – layoff dynamics in Europe and in the USA will always be different (unless laws are synced which I do not foresee happening ever)…
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I can say Oracle's pays more than SAP for similar T4 positions if you joined them in 2018.
@XYEcdir-1chd. I guess you could argue higher salaries in the US are beneficial to the employees and to society in general. Germans like to defend the company car and complain about American salaries. I guess it all depends on what life you’re living and where, huh?
@XYEcdir-1oya: the company cars in Germany are a beneficial - for both, employer and employee, as well as for the car industry. That's why that's kept up going.
In the US companies pay for health insurance to attract employees. Well, in every country you have to find a proper way. Germans like to drive cars - and a flatrate (fuel, insurance, tyres, repairs - all included) is very well perceived.
US salaries are higher in areas like the West Coast, Boston, and DC. Otherwise, German salaries are on par with the US. One way to save € would be to do away with all those company cars in Germany.... just a thought.
And don't forget: US salary is higher - because of the higher risk to be kicked out.
So, in good times it's better to work in the states - but in troubled times you are better off in good old Europe.
There are a few major differences which come into play between some EU countries (e.g. Germany, France) and the US. These amount to a fairly good justification why US layoffs are always going to come first. The reasons include:
German employees have CONTRACTS, backed by unions and ultimately laws. You simply can't terminate anyone easily without six months' notice. Imagine the productivity of that person during SIX MONTHS prior to their final day? So German companies try to avoid going down that path at all.
The US, at least in the majority of states, is the exact opposite. So-called "right to work" states are named after the dull edge of a double-edged sword. The shiny, sharp edge is the legal ability for an employer to terminate any employee whenever they wish. Welcome to the free market.
Another factor is where the "keep the lights on" employees are based. The vast majority are in Germany. Those are the employees with specific core knowledge, often related to how industry sectors as wholes operate and are employed by the company to make sure they can still gather and process revenue from repeating customers (and, in the case of sales, potential high-value new customers).
Some tidbits from the German Employment Laws:
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During the employee’s pregnancy and during a period of four months after childbirth, no termination of the employment relationship by the employer is permissible.
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The employer must observe the applicable termination notice period, which is ordinarily determined by law (between four weeks and seven months, depending upon the length of employment).
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End of Month Rule: termination of employment can only be effected as of the end of any calendar month.
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If a company engages in a mass layoff (which is deemed to occur when the employer intends to dismiss a large percentage of its employees during a one-month period) prior approval by the employment office is required.