Document background
The Employee Appraisal Policy serves as a foundational document for organizations operating in Germany to establish and maintain a structured performance evaluation system. This document becomes necessary when companies need to formalize their performance management processes while ensuring compliance with German labor laws, particularly regarding works council rights and data protection requirements. The policy outlines evaluation criteria, procedures, documentation requirements, and appeals processes, incorporating mandatory consultation with works councils as required under German law. It is designed to support fair, transparent, and legally compliant performance assessments while protecting both employer and employee interests in accordance with German employment legislation.
