Labour migration

History

Germany started recruiting foreign workers from southern Europe and the Mediterranean region in 1955 after concluding an agreement with Italy. Later, the government signed recruitment agreements with Spain, Greece (1960), Turkey (1961), Morocco (1963), Portugal (1964), Tunisia (1965) and Yugoslavia (1968).
As a result of the economic slowdown, caused among other things by the oil crisis, the Federal Cabinet ordered a stop to further recruitment of foreign labour in November 1973. Few exceptions were made so that foreign workers were admitted to Germany only to a limited extent.
However, in subsequent years extensive amendments to the law once again increased the possibilities of foreign workers to immigrate to Germany. The existing system of labour migration is largely oriented on the demand and needs of the labour market. For example, labour migration may be considered in individual cases only if the potential immigrant has a concrete job offer. The situation on the labour market is taken into account by checking whether German or EU citizens are available to fill the position and whether the working conditions are the same as for Germans before a foreigner is allowed entry.

General

Individual sections of the Residence Act group migration possibilities by their purpose, including

education/training,
employment,
humanitarian/political interests,
subsequent immigration of dependent family members.

Thus, German law makes clear that the immigration of foreign workers is a cornerstone of Germany’s immigration policy.
In recent years, new legislation on labour migration has been developed and is marked by openness to immigration by skilled workers.
The Immigration Act, which entered into force on 1 January 2005, abolished the work permit as a separate document. Now the residence title, usually in the form of a residence permit, includes the permission to hold employment. The labour administration, which previously issued work permits, is consulted by the foreigners authority through an internal procedure so that foreigners have only one contact point for both residence and employment issues.
The labour administration must check whether German or EU citizens are available to fill the position and whether the working conditions are the same as for Germans to avoid downward pressure on wages.
Labour migration within the meaning of the Residence Act and relevant statutory instruments, in particular the Ordinance on the admission of foreigners for the purpose of taking up employment, can be divided into the following three areas depending on the immigrants’ occupational qualifications:

1. Immigration of unskilled or low-skilled workers

Unskilled or low-skilled workers may stay in the country only temporarily. Permanent residence cannot be granted. The largest area is the employment of seasonal workers in the agricultural sector and the food-service industry (for no more than six months a year). This area also includes au pairs and domestic workers in households with persons in need of care.

2. Immigration of skilled workers

This area covers qualifications ranging from completed occupational training or comparable qualification to completed university-level education. These persons are initially issued a temporary residence permit; if they are still employed when this temporary permit runs out, their residence permit is renewed. After five years, they may obtain a permanent settlement permit. For persons with a university-level degree in particular, temporary residence may become permanent residence.
There is no defined minimum salary for these skilled workers. However, the salary must be about as high as for Germans with comparable skills.
For example:

skilled workers with a university-level degree in any field,
skilled IT workers with a university-level degree or the equivalent (previous holders of Green Cards),
graduates of German universities (without check whether German or EU citizens are available to fill the position),
guest researchers and research staff at universities and research institutes as well as engineers and technicians working in research teams (without check whether German or EU citizens are available to fill the position),
executives (without check whether German or EU citizens are available to fill the position),
teachers at public schools and substitute schools (without check whether German or EU citizens are available to fill the position),
professional athletes and trainers (without check whether German or EU citizens are available to fill the position),
artists, journalists,
speciality chefs,
employment based on bilateral agreements such as contract workers and workers participating in further occupational and language training,
other skilled workers if there is a public interest.

3. Immigration of highly skilled workers

In general, the term “highly skilled worker” is not precisely defined. Frequently, the term encompasses all persons with a university-level degree. A special definition of highly skilled workers is given by the Residence Act. It covers highly skilled workers whose residence is of special economic and social interest in Germany. They are the only group which is granted a permanent residence title in the form of a settlement permit.This provision is aimed at business and research professionals with outstanding qualifications, which is also reflected by their salary. This includes in particular

researchers with special technical knowledge,
teachers in prominent positions, e.g. university chairs and
other professionals and executives with an annual salary of at least €66,000 (as at 2010). Pursuant to Section 19 (2) no. 3 of the Residence Act, the salary corresponds to at least the earnings ceiling of the general pension insurance system and is adjusted at the end of every year.

Highly skilled workers who receive a lower salary may initially obtain a temporary right of residence which, as a rule, becomes a permanent right of residence after five years.

Detailed information on employment opportunities and procedures are provided by the Federal Ministry of Labour and Social Affairs in its information material about the employment of foreign workers from EU Member States and third countries and its FAQs on the employment of foreign workers in Germany.

4. EU Directive on the conditions of entry and residence of third-country nationals for the purpose of highly qualified employment (EU Blue Card)

Directive 2009/50/EC makes detailed provision for the immigration of third-country nationals for the purpose of highly qualified employment. In addition to the general requirements for granting a residence title specified by national law (ability to support themselves, verified identity, no grounds for expulsion, holding a passport, etc.), the Directive establishes the following admission criteria:

work contract or a binding job offer for highly qualified employment,
proof of a university-level degree or, if allowed by national law, proof of at least five years of relevant professional experience,
minimum salary of 1.5 times the average gross annual salary or of 1.2 times the average gross annual salary in professions which are in particular need.

EU Member States may define a quota for the annual immigration under this Directive.
Highly qualified workers holding an EU Blue Card are allowed to move on to another EU Member State after 18 months. However, the second Member State may ask such immigrants to fulfil all requirements which had to be fulfilled when first entering an EU Member State.
This Directive has the special advantage that it allows immigrants to accumulate residence periods in various Member States to obtain the permanent right of residence. Moreover, holders of the EU Blue Card may leave the EU for up to twelve months without losing the residence title. Usually, the residence title is forfeit already after six months, unless the foreigners authority has authorized a longer stay abroad.
At the moment, Germany is preparing to implement the Directive in national law.

Subsequent immigration of spouses/children of foreign professionals

Foreign professionals holding a residence title for the purpose of employment may be accompanied by their spouses from abroad if they intend to stay for more than one year. However, spouses must prove sufficient language skills. As a rule, exceptions are made for spouses holding a university-level degree, spouses of highly qualified workers (soon also holders of the EU Blue Card) and nationals of certain countries (e.g. USA, Canada, Australia, and Japan).
Persons who marry after entering the EU may be rejoined by their spouses only after having been in Germany for at least two years. Once again, exceptions are made for highly qualified workers and future holders of the EU Blue Card.
Children are always allowed to join the immigrant; special rules apply to the subsequent immigration of children (depending on their age and ability to integrate, and on whether they are accompanied by the immigrant’s spouse).
The subsequent immigrants’ access to the labour market depends on the conditions applying to their spouses already living in the EU, i.e. spouses of highly qualified workers have unrestricted access to the labour market immediately upon their arrival; spouses of professionals with a lower-priority access to the labour market are also granted only a lower-priority access to the labour market. This restriction generally applies during the first two years of employment. Preference is given to spouses of foreign researchers, executives and professionals – they are allowed to work without a prior check whether German or EU citizens are available to fill the position.