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Company outing or holiday
Company outing or holiday? Your rights and obligations as an employee
Imagine your boss is planning a company outing and you're wondering: Do I really have to go? Or can I take a holiday instead? The answer isn't always simple. In this article, we'll address the key questions surrounding company outings and holiday entitlements. If you’d like to learn more about our services, visit our contact page.
The topic, briefly and concisely
Participation in a company outing is generally voluntary. Employees cannot be forced to participate, and the employer is not allowed to count it as a day of leave, unless there is no other work opportunity available.
If the company outing takes place during regular working hours, it is considered paid working time. However, there is no entitlement to overtime, even if the outing lasts longer. Clear regulations avoid misunderstandings.
Employers usually cover the costs of the company outing, with a tax-free allowance of up to 110 euros per employee per year. Careful documentation of expenses is important for tax deductibility and transparency.
Find out if you are obliged to participate in the company outing and what rights you have regarding holiday entitlement and cost coverage. Get informed now!
Company Outing or Holiday: A Comprehensive Review
Introduction to the Topic of Company Outings and Holiday Entitlements
The question of whether a company outing is considered working time or a mandatory holiday often causes uncertainty. This article aims to help you clearly understand your rights and obligations as an employee regarding company outings. We explore various aspects, from the voluntariness of participation to the costs and insurance coverage. At GoTuro, we understand that clarity and transparency are essential so that you can enjoy your leisure time without worries.
Why This Topic is Relevant
It is important to know the differences between working hours, leisure time, and holiday entitlements to avoid misunderstandings and conflicts. Many employees are unsure whether they are obliged to participate in a company outing or if the employer is allowed to count it as a holiday day. This article provides you with comprehensive guidance so you can know and confidently assert your rights. We clarify which rights and obligations apply to both employees and employers to ensure a fair and transparent working relationship.
Overview of the Legal Framework
The legal framework for company outings is not always clear-cut. While there are no specific laws governing company outings, various laws and regulations in labour law are relevant. These include the Working Time Act, the Federal Leave Act, and the Works Constitution Act. Relevant court rulings also play an important role in interpreting the rights and obligations related to company outings or holidays. These rulings help to understand the grey areas and protect the rights of employees. You can find information on the legal basis, for example, at Haufe.de.
Company outings: Volunteering ensures employee satisfaction
Voluntariness vs. Obligation: Participation in the Company Outing
Basic Voluntariness of Participation
Participation in a company outing is essentially voluntary. An employee cannot be forced to participate because the employment contract only covers work performance, not participation in leisure activities. This voluntariness is an important aspect to positively influence employee satisfaction and the working environment. At GoTuro, we place importance on ensuring our offerings are taken up voluntarily, ensuring that all participants are motivated and engaged.
An Employee Cannot Be Forced to Participate
The employer cannot compel participation in a company outing. This follows from the general right of personality and the principle of freedom of contract. Employees have the right to organize their free time themselves. An exception only exists if there is a business necessity and participation is reasonable for the employee. Such exceptions are very rare and must be examined on a case-by-case basis. According to DG Rechtsschutz, a company outing is not a mandatory event.
What Happens If One Does Not Wish to Participate?
If an employee does not wish to participate in a company outing, they generally have the right to regular work, if possible. The employer must offer the employee an alternative work opportunity, provided this is operationally feasible. A holiday entitlement only arises in exceptional cases when no other employment opportunity exists and the employer must release the employee for operational reasons. In this case, the employer can exceptionally count one day of leave, but only if all other options have been exhausted.
Principle of Equal Treatment
The principle of equal treatment plays an important role in the question of participation in company outings. Employees must not be disadvantaged by non-participation. This means they should not fear any negative consequences, such as a poorer performance review or unfair treatment compared to colleagues who participate. The employer must ensure that all employees are treated equally, regardless of whether they participate in the company outing or not. According to FirmenABC, there should be no exclusion, unless operational reasons require a minimum staffing level.
Company outing as working hours: Designing fair compensation
Working Hours and Compensation During the Company Outing
Company Outing During Regular Working Hours
If a company outing takes place during regular working hours, it is generally considered paid working time. This means that the employee receives their regular salary for the time of the outing. However, there is no entitlement to overtime pay, even if the outing lasts longer than the usual working hours. Time that exceeds regular working hours is usually not compensated as overtime unless there is a corresponding agreement in the employment contract or a company agreement. Information about working hours can also be found under Company Outing Working Hours.
Considered Paid Working Time
When the company outing takes place during regular working hours, participation is to be treated as normal working time. The employee receives their regular salary and no additional compensation is paid unless there is an explicit agreement. It is important that employers and employees are aware of this regulation to avoid misunderstandings. According to Hirschfeld.de, the company outing is considered working time.
Company Outing Outside Regular Working Hours
If the company outing occurs outside regular working hours, participation is generally considered leisure time. In this case, there is no entitlement to payment or compensatory time off. An exception exists if there is an agreement to count it as working time. Such an agreement can be made in the employment contract, a company agreement, or through an individual arrangement. In this case, the time of the outing is credited as working time and compensated accordingly or offset with compensatory time off.
Special Case for Part-Time Workers
The same principles apply to part-time workers as to full-time workers. If the company outing takes place during regular working hours, part-time workers are entitled to proportional compensation. The amount of compensation is based on the individual working time model and the agreed number of hours. It is important that the employer considers the individual working time models of part-time workers and adjusts compensation accordingly. Further information for part-time workers can be found under Company Outing Working Hours for Part-Time Workers.
Right to Vacation: Company Outing Cannot Replace Leave
Holiday Entitlement and Company Outing: Are They Compatible?
Can the Employer Mandate Holiday for a Company Outing?
In principle, it is not permissible for the employer to mandate holiday for a company outing. The employee's holiday entitlement is intended for relaxation and cannot be used for company events that the employee might not even want to attend. An exception to this rule exists only if there is no other employment possibility for the employee and the employer must release them for operational reasons. In this case, the employer can exceptionally count a holiday day, but only if all other options have been exhausted. You can find more details on the topic under Company Outing Mandatory Holiday.
Generally Not Allowed
Imposing holiday for a company outing is generally not allowed as it undermines the purpose of holiday for relaxation. Employees have the right to arrange their holiday freely and to unwind. Employers cannot restrict this right by forcing employees to participate in a company outing and counting it as a holiday day. According to Haufe.de, mandating holiday for a company outing is typically a violation of the employee's freedom.
No Entitlement to Additional Holiday Days or Extension of Holiday
If a company outing falls within an employee's already approved holiday, they are not entitled to additional holiday days or an extension of the holiday. The employee has already claimed their holiday entitlement and cannot demand additional holiday days due to the company outing. However, it is advisable for employers and employees to reach an amicable solution to consider both parties' interests in such cases. Further information on the topic can be found under Company Outing During Holiday.
Documentation and Transparency
Clear communication with employees is crucial to avoid misunderstandings and conflicts. Employers should inform employees about the company outing early on and clearly set out which regulations apply. Written agreements are recommended, especially when it comes to counting working hours or covering costs. Through open and transparent communication, employers and employees can build a trusting working relationship and avoid conflicts.
Reducing costs: Utilising tax advantages on company outings
Costs and Tax Aspects of Company Outings
Who covers the cost of the company outing?
Typically, the employer covers the costs of the company outing. This includes expenses for organisation, catering, activities, and transport. However, voluntary contributions from employees are possible if they have special requests or wish to avail themselves of additional services. It is important that the distribution of costs is clearly communicated in advance to avoid misunderstandings. Information on costs can also be found under Company Outing Costs per Employee 2025.
Tax Allowance for Company Outings
There is a tax allowance of up to 110 euros per employee per year for company outings. This allowance applies to a maximum of two outings per year. If the costs per employee exceed this allowance, a taxable benefit in kind arises, which must be taxed by the employee. Therefore, it is advisable to keep the costs within the allowance framework to minimise the tax burden for employees. According to Personio.de, there is a tax allowance of 110 euros per employee.
Documentation of Costs
Careful documentation of costs is important for the tax deductibility of the company outing. The employer must be able to record and substantiate all expenses in detail to claim the company outing as a business expense. This includes invoices, receipts, and participant lists. Proper documentation is crucial not only for tax returns but also for internal accounting and transparency with employees.
Safe travels: Ensure insurance coverage during company outings
Insurance Coverage and Liability on Company Outings
Statutory Accident Insurance
During the official duration of the company outing, including travel to and from the event, statutory accident insurance is generally in place. This insurance applies to accidents that occur during the outing. However, the insurance does not cover accidents that are self-inflicted due to alcohol or gross negligence. Therefore, it is important that participants behave responsibly and adhere to the rules of the outing. According to FirmenABC, the insurance coverage during the official duration of the outing is applicable.
Employer's Liability
The employer is liable for damages that occur during the company outing if they have failed in their duty of care. This can be the case, for example, if the employer offers dangerous activities without adequately informing or protecting the participants. It is thus essential for the employer to carefully assess the risks of the outing and take appropriate measures to prevent damage. Good preparation and organisation of the outing are crucial to ensure the safety of the participants.
Code of Conduct and Disciplinary Action
Inappropriate behaviour during the company outing can have employment law consequences. This applies in particular to violations of decency, harassment or other forms of misconduct. The employer has the right to address such violations and, if necessary, take disciplinary action, up to and including termination. Therefore, it is important for participants to behave appropriately and respect the rules of the outing. According to DG Rechtsschutz, inappropriate behaviour can lead to disciplinary measures.
TVöD-compliant: Organising company outings in the public sector
Company Outing in the Public Sector (TVöD)
Special Features in the Public Sector
In the public sector, special regulations apply for company outings that align with the provisions of the Collective Agreement for the Public Sector (TVöD). The principle of equal treatment is particularly important here, as all employees must have the same opportunities and rights. Therefore, it is crucial that the employer is familiar with the specific regulations of the TVöD and takes them into account when organising the company outing. Information on the TVöD can be found at Rehm-Verlag.de.
Working Time Regulations in the TVöD
The working time regulations in the TVöD are clearly defined and must also be observed during company outings. There must be a clear distinction between working time and leisure time. If the company outing takes place during regular working hours, it counts as working time and is remunerated accordingly. If the outing occurs outside regular working hours, it is generally considered leisure time, unless there is an alternative agreement. It is important that the employer is well-versed in the working time regulations of the TVöD and considers them when planning the outing.
Holiday Entitlement in the TVöD
In the public sector, it is also the case that the employer may not mandate holiday for company outings. Employees' holiday entitlement is intended for rest and cannot be used for company events. An exception to this rule exists only if there is no other employment opportunity for the employee and the employer must release them for operational reasons. In this case, the employer may exceptionally deduct a holiday day, but only if all other options have been exhausted.
Organising Successful Company Outings: Recommendations for Employers
Conclusion and Recommendations for Employers and Employees
Summary of Key Points
The key points related to work outings or holidays are the voluntary nature of participation, the regulations regarding working hours, holiday entitlement, cost distribution, and insurance coverage. It is important that both employers and employees are aware of their rights and responsibilities to prevent misunderstandings and conflicts. Open and transparent communication is vital to fostering a trusting working relationship.
Recommendations for Employers
For employers, it is advisable to ensure clear communication, transparency, and equal treatment. Employees should be informed about the work outing well in advance, and clear arrangements should be made regarding participation, working hours, holiday entitlement, and cost distribution. It is important that all employees are treated equally and that no one is disadvantaged if they choose not to participate in the outing. By carefully planning and organizing the outing, employers can ensure that the work outing is a success and contributes to strengthening team spirit.
Recommendations for Employees
Employees should be aware of their rights and responsibilities and should inform themselves about the regulations regarding the work outing in advance. It is important that they communicate openly with their employer and express any concerns or wishes. If they do not wish to participate in the outing, they should inform the employer in good time and, if necessary, suggest an alternative activity. Through open and honest communication, employees can help ensure that the work outing is a positive experience for everyone involved.
Incentive trips: Increase your employees' motivation
More useful links
Haufe.de provides information on holiday entitlement during work outings in the public sector.
DG Rechtsschutz explains that a work outing is not a mandatory event and outlines the rights employees have.
Personio.de provides information about the tax allowance of 110 euros per employee for work outings.
Rehm-Verlag.de offers information on the TVöD and the specifics of work outings in the public sector.
FAQ
Do I have to participate in a company outing?
No, participation in a company outing is generally voluntary. Your employer cannot force you to attend as your employment contract primarily includes your work performance.
Can my employer deduct a holiday for a company outing?
Generally not. Your holiday entitlement is for your recuperation and cannot be used for company events, unless there is no other work option available and all other possibilities have been exhausted.
What happens if I do not want to participate in a company outing that takes place during working hours?
You are entitled to regular work, if possible. Your employer must provide an alternative work opportunity, where feasible within the business context.
Who bears the costs of the company outing?
In most cases, the employer bears the costs. This includes organisation, catering, activities, as well as travel to and from the event. There is a tax allowance of up to 110 euros per employee per year for a maximum of two outings.
Am I insured during a company outing?
Yes, there is usually statutory accident insurance during the official duration of the outing, including travel to and from the event. However, this does not apply to self-inflicted accidents due to alcohol or gross negligence.
What happens if I behave inappropriately during the company outing?
Inappropriate behaviour can have employment law consequences, including termination. Respect the rules and behave appropriately.
Are there special regulations for company outings in the public sector (TVöD)?
Yes, the public sector has special regulations that are based on the provisions of the Collective Agreement for the Public Service (TVöD). The principle of equal treatment is particularly important here.
What are incentive trips and how do they differ from company outings?
Incentive trips are specifically designed to reward outstanding performance and foster team spirit. They are often associated with clear objectives, such as increasing sales figures, and have a more formal character than traditional company outings.
