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Cross-border delivery of work
Lawyer explains labor migration law requirements for cross-border delivery of work by foreigners.
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About this Page
what cross-border work and materials contracts are
which labor migration law requirements apply
how the visa and notification procedure works at the Federal Agency
what options there are for long-term work delivery contracts
Table of Contents
1. Cross-border work deliveries
2. Visa work supply contract
3. Notification procedure Federal Employment Agency
4. Long-term work deliveries
5. FAQ
6. Conclusion Works delivered by foreigners
1. Cross-border work deliveries
A cross-border work and materials contract is a contract in which a company not only manufactures but also delivers a product. Such work and materials contracts play a significant role in international trade , particularly in the manufacturing, mechanical engineering, and IT sectors. This article discusses the migration and visa requirements for the successful implementation of cross-border work and materials contracts.
From a residence law perspective, work and materials contracts present numerous challenges, as the delivery of the manufactured products or systems usually requires the seller's employees to enter Germany. Since entry for installation or maintenance usually only involves short-term stays, a national visa for work and materials contracts cannot often be issued. The legislature has recognized this problem. The law therefore permits the short-term stay of foreign workers to set up and assemble or dismantle, maintain or repair machines, systems and electronic data processing programs that have been ordered from the employer, or to provide training in the operation of these machines, systems and programs ( Section 19 (1) Sentence 1 No. 1, No. 3 BeschV ).
2. Visa work supply contract
However, in order to obtain a corresponding short-term Schengen visa for cross-border work deliveries, certain requirements must be met. According to Section 19 (1) Sentence 1 No. 1 of the Employment Regulations, a Schengen visa for cross-border work deliveries can only be issued under the following conditions:
the supplier is based abroad
The delivery items are machines, systems and programs for electronic data processing
the delivery follows for commercial purposes
the supplier is also the manufacturer of the machines, systems or programs
the employees assemble, maintain or repair the delivery item or instruct in the operation of the delivery item
a proper notification is made to the Federal Employment Agency
Of particular practical relevance is that the supplier must also be the manufacturer of the delivery item. Therefore, it is not possible to allow employees to enter the country to assemble machinery or equipment that was not produced by the same company. Exceptions may apply under certain conditions for corporations and international companies.
3. Notification procedure Federal Employment Agency
In order to allow workers to enter the country to assemble machinery or equipment, the Federal Employment Agency must be notified accordingly. Section 19, Paragraph 1, Sentence 2 of the Employment Ordinance requires that the employer notify the Federal Employment Agency of the work delivery prior to the employees' entry. If assembly work is carried out without the required notification, this no longer constitutes employment without authorization and may therefore be illegal.
For the notification pursuant to Section 19, Paragraph 1, Sentence 2 of the Employment Ordinance (BeschV), the form "Notification of the Assembly/Disassembly of Mechanical Systems/IT Programs" (PDF) must be used, which is available online . The notification must be received by the Federal Employment Agency (BA) before the start of work, after which the contractor will receive confirmation. If the legal requirements are not met, the contractor will be informed that a residence permit is required. Nationals of certain countries pursuant to Section 41 of the Residence Ordinance can apply for a residence permit at the immigration office after entering the country, while all other foreign workers must apply for a visa at the German diplomatic mission in their country of origin prior to entering the country.
4. Long-term work deliveries
Secondments under work-and-delivery contracts are also possible for periods exceeding 90 days , but require the approval of the Federal Employment Agency. It is crucial that the working conditions of the foreign workers are not worse than those of comparable domestic employees, as stipulated in Section 39, Paragraph 3 of the Residence Act. The starting salary for the respective occupational group is generally decisive for wage assessment, ensuring fair and legally secure payment. A priority check is not carried out for long-term work-and-delivery assignments.
5. FAQ
What is a cross-border supply of work?
A cross-border supply of work occurs when a foreign company not only delivers products (e.g. machines or software) to Germany, but also sends its own employees for assembly, maintenance or training.
What are the requirements for a Schengen visa for work supplies?
A short-term Schengen visa under Section 19 of the Employment Ordinance can be issued if the supplier is located abroad, is also the manufacturer of the product, and the product involves machinery, equipment, or IT software. Employees are only permitted to perform specific activities (e.g., assembly, maintenance, training), and a proper notification must be submitted to the Federal Employment Agency.
How does the notification procedure at the Federal Employment Agency work?
Before the start of work, the assignment must be reported to the Federal Employment Agency using the official form "Notification of Assembly/Disassembly of Mechanical Equipment/IT Software." Failure to report the assignment will not constitute employment without a permit, which could result in illegal activity.
6. Conclusion
Cross-border work and delivery contracts are a central component of international business, particularly in industry, mechanical engineering, and the IT sector. Compliance with migration and visa regulations is crucial for the legally compliant implementation of such projects. Short-term assembly assignments can be carried out with a Schengen visa under the conditions of Section 19 of the Employment Regulations (BeschV), provided the manufacturer is also the supplier and the Federal Employment Agency is properly notified. Stricter requirements apply to long-term assignments, particularly to ensure fair working conditions. Companies should therefore review the legal framework early on to avoid illegal employment and implement projects efficiently.
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List of Sources (Paywall)
[1] Offer/Mävers, Employment Ordinance, 2nd edition 2022, § 19
[3] Visa Manual, Assembly - Works and Services Contracts, 72nd Supplement; Status: 08/2020