February 7, 2018 / 9:51 AM / in a year

German SPD clinch compromise on fix-term contracts

BERLIN (Reuters) - Germany’s conservatives and the Social Democrats (SPD) have agreed to lower to 18 months the limit that employers can set on fixed-term contracts imposed without justification, down from 24 months under current rules, a source involved in coalition negotiations said on Wednesday.

The SPD had vowed to lower the limit on fixed-term contracts to give employees more security, a measure that had been opposed by Chancellor Angela Merkel’s conservatives who said it limits the hiring and firing flexibility firms need to stay competitive.

Reporting by Holger Hansen; Writing by Joseph Nasr; Editing by Michelle Martin

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