The announced closure of OPmobility Sterbfritz raises the question of severance plant closure for many employees. In this article you will learn what rights you have, how to negotiate a severance, and which deadlines you must meet. We also explain the role a potential investor may play and how you can financially protect yourself.
The closure of a plant is a turning point for affected employees. Besides uncertainty about their own job, many organizational questions arise: How will the employment relationship continue? Will notices be given? What financial benefits can I expect? This article gives you an overview of your rights and options.
severance plant closure: your rights and options
A severance is not an automatic entitlement. It is usually negotiated via a settlement agreement or a settlement before the labor court. In the case of a redundancy dismissal, the employer may offer a severance, but is not obliged to do so. Only if the dismissal notice explicitly refers to the statutory severance under § 1a KSchG do you have a claim, provided you let the notice period expire.
The amount of severance often follows the rule of thumb: half a month’s gross salary per year of service. This is merely a guideline – the actual sum depends on your length of service, your age, and your prospects in the job market. For more on calculation, see our guide to severance after dismissal.
In the case of a change of operations, which includes a plant closure, the employer can negotiate an interest reconciliation and a social plan with the works council. The social plan may provide severance for the affected employees. These benefits are not legally guaranteed, but depend on the negotiations. The works council plays an important role here, as it represents the interests of the workforce.
The Investor: Opportunities and Risks for Your Job
In a plant closure, an investor is often sought to take over the operation or parts of it. This can be an opportunity for you to keep your job. However, an investor is not a guarantee: they may take over only part of the workforce or relocate production. If an investor takes over the business, your employment relationships transfer to them under § 613a BGB – your contractual rights remain intact.
Nevertheless, the investor may also issue redundancy dismissals if they restructure. Therefore, you should monitor developments closely and stay informed about the plans. Use staff meetings to ask questions. Even if an investor comes on board, a severance related to the plant closure can be part of the negotiations.
Meeting Deadlines: Unfair Dismissal Claim and More
If you receive a dismissal, you have only three weeks to file an unfair dismissal claim with the labor court. This deadline is set by law and cannot be extended. If you miss it, you lose your protection against dismissal. Therefore, it pays to act quickly and seek legal advice.
The unfair dismissal claim is the main tool to contest a dismissal. With it you can have the dismissal declared invalid and, if appropriate, negotiate a severance. For more information, see our guide to unfair dismissal claim.
Also note: if you sign a settlement agreement, you waive your protection against dismissal and risk a waiting period for unemployment benefits. Read our post on waiting period and unemployment benefits for details.
Negotiating Severance: What Matters
When negotiating a severance in the context of a plant closure, you should not accept the first offer. Check whether the amount is reasonable and whether you can secure better terms. An employment‑law solicitor can assess what a realistic severance would be and how you can strengthen your position. Tax treatment also plays a role: severances may be tax‑advantaged under certain conditions, for example via the five‑year rule. Remember that severance plant closure discussions often involve both the employer and the works council. See our article on the new five‑year rule 2026 for more.
If you file an unfair dismissal claim, the labor court may propose a settlement that includes a severance. The same principle applies: do not negotiate alone, but seek advice. The amount of severance in a plant closure depends on many factors – do not let yourself be pressured.
Litigation Costs and Funding: How RechtStark Can Help
An unfair dismissal claim can become expensive – especially if it proceeds through several instances. Many employees therefore shy away from going to the labor court. This is where litigation funding comes in: a litigation funder such as RechtStark covers the costs of lawyer and court if the claim has a good chance of success. In the event of success, the funder receives a share of the awarded severance; if you lose, you incur no costs.
RechtStark is not a law firm or a solicitor’s practice, but a litigation funder that finances your unfair dismissal claim. You can submit your documents for a non‑binding assessment to see whether we can provide funding. This way you take on no financial risk and can fully enforce your rights.
If you are considering severance plant closure negotiations, litigation funding can cover the legal costs.
Next Steps: How to Protect Yourself Now
If you are affected by the closure of OPmobility Sterbfritz, you should act now. Here are the key steps:
- Check whether you have already received a dismissal and when the deadline for filing an unfair dismissal claim expires.
- Gather all relevant documents: employment contract, dismissal letter, payslips, correspondence with the employer.
- Talk to your works council, if one exists, and stay informed about the latest developments.
- Seek advice from an employment‑law solicitor before signing anything – especially a settlement agreement.
- Consider whether litigation funding is an option for you to minimize the financial risk.
- Register as a job‑seeker in good time to avoid disadvantages with unemployment benefits.
The closure of a plant is a difficult situation, but you are not powerless. With the right information and good preparation you can enforce your rights and negotiate an appropriate severance. Do not hesitate to seek professional help – both for legal advice and for financing your claim.
Remember: the three‑week deadline for an unfair dismissal claim is short. Act quickly and do not let yourself be discouraged. Your job and your rights are worth fighting for.
Note: This article is for general information purposes only and does not replace individual legal advice. For a free initial assessment of whether litigation funding may be an option for your case, you can contact RechtStark.