Hiring Severely Disabled Employees: Section 165 SGB IX + AGG
TL;DR
- Duty to invite under § 165 SGB IX — public-sector employers only: severely disabled applicants must be invited to an interview; private employers are not subject to this statutory duty
- Duty to examine for all employers: § 164(1) sentence 1 of the German Social Code Book IX (SGB IX) requires employers to examine whether vacant positions can be filled with severely disabled persons
- Employment quota of 5 % from 20 employees onwards (§ 154 SGB IX)
- Compensatory levy if the quota is not met: EUR 140–720 per month for each unfilled mandatory position
- Disability is a characteristic under the German General Equal Treatment Act (AGG) (§ 1 AGG); the prohibition of disadvantage in § 7(1) and (2) AGG also applies where the ground is merely assumed
- Organisational duties: non-discriminatory job advertisement (§ 11 AGG), duty of protection and instruction (§ 12(1)–(3) AGG; suitable training counts as fulfilment of this duty), right to complain to the competent body of the establishment — the Act and the competent body must be published within the establishment (§ 13(1), § 12(5) AGG)
- Burden of proof under § 22 AGG: proven indications trigger the presumption — the other party must then prove that no infringement occurred
- Damages under § 15 AGG — typically one to three gross monthly salaries; the cap of three monthly salaries applies only where the applicant was not hired (§ 15(2))
- Prohibition of victimisation under § 16(1) AGG: no disadvantage for asserting rights — this also covers supporters and witnesses
- Accessibility in the procedure: where a neutral process is liable to put people with disabilities at a particular disadvantage, § 3 AGG (indirect disadvantage, § 3(1) to (4)) must be examined; for the workplace itself, the duty to provide 'reasonable accommodation' applies, funded by the Integration Office (Integrationsamt)
- Two-month time limit: claims under § 15(1) and (2) AGG must be asserted in writing, in the case of applications from receipt of the rejection (§ 15(4) AGG)
- Protection against dismissal: approval by the Integration Office is required (§ 168 SGB IX)
- Austria: disability is not a ground under the Austrian Equal Treatment Act (GlBG) — the relevant rules are the Disability Employment Act (Behinderteneinstellungsgesetz, BEinstG; §§ 7a et seq., in particular § 7b) for working life and the Federal Disability Equality Act (Bundes-Behindertengleichstellungsgesetz, BGStG) outside it
Main article: reversal of the burden of proof under § 22 AGG — how proven indications shift the burden of proof to the other party and what follows for documenting selection decisions.
1. Duty to invite under § 165 SGB IX (public-sector employers only)
The duty to invite under § 165 SGB IX applies only to public-sector employers — the official heading of the provision reads "Besondere Pflichten der öffentlichen Arbeitgeber" (special duties of public-sector employers). They must invite every severely disabled applicant to an interview unless professional suitability is obviously lacking (§ 165 sentences 3 and 4 SGB IX); the case law of the Federal Labour Court (BAG) interprets "obviously" narrowly. Private employers, by contrast, are under no statutory duty to invite severely disabled applicants to an interview.
In addition to the invitation, public-sector employers must notify the Federal Employment Agency (Agentur für Arbeit) of positions becoming vacant and of positions to be newly filled. § 165 SGB IX contains no rule of preference — the provision governs access to the procedure, not its outcome.
Private employers are therefore not outside the scope of SGB IX: § 164(1) sentence 1 SGB IX applies to all employers, requiring them to examine whether vacant positions can be filled with severely disabled persons. That is a duty to examine, not a duty to invite and not a duty to hire.
Practical consequence for job advertisements: the sentence "severely disabled applicants will be given preference where qualifications are equal" is, for private employers, a voluntary self-commitment, not a mandatory statutory statement (details in the FAQ).
2. § 1 AGG and the reversal of the burden of proof under § 22 AGG
Disability is a characteristic under § 1 AGG — a disadvantage on that ground is prohibited by § 7(1) AGG, and § 22 AGG reverses the burden of proof as soon as indications are proven; in the case of public-sector employers, a failure to invite is a strong indication for the purposes of § 22 AGG. In detail: § 1 AGG expressly names disability among the grounds on which disadvantages are to be prevented or eliminated; § 7(1) and (2) AGG prohibits disadvantaging employees on such a ground — including where the person causing the disadvantage merely assumes that such a ground exists; provisions in agreements that infringe this prohibition are void.
§ 22 AGG allocates the burden of proof in two stages: if, in a dispute, one party proves indications suggesting a disadvantage on a ground named in § 1 AGG, the other party bears the burden of proving that no infringement of the provisions protecting against disadvantage occurred. The threshold for indications is low, the full proof to be furnished by the other party is high — an employer who cannot reconstruct its own selection decision cannot furnish that proof.
A distinction must be drawn between the forms of disadvantage under § 3 AGG: direct, where a person receives less favourable treatment on a ground under § 1 AGG; indirect, where apparently neutral provisions are liable to put persons at a particular disadvantage. Harassment and sexual harassment are separate forms of disadvantage. For job advertisements, § 11 AGG applies in addition: a position may not be advertised in breach of § 7(1) AGG.
Practice recommendation (not a statutory requirement): set out the selection criteria in writing before the first application arrives, conduct structured interviews with a score sheet, file a written justification for each selection decision, and run applicant management with an audit trail. Traceably documented selection grounds are the practical protection in both jurisdictions.
3. Compensatory levy where no hiring takes place
The compensatory levy is due where an employer with 20 or more employees falls below the mandatory quota of 5 % (§ 154 SGB IX): EUR 140–720 per month for each unfilled mandatory position. Which amount within that range applies follows from the version of SGB IX in force at the time and from the Federal Employment Agency overview linked in the sources section.
What matters in practice is keeping the levels apart: the quota and levy rules of SGB IX are tied to the number of employees (20 or more employees, § 154 SGB IX). The prohibition of disadvantage in § 7(1) and (2) AGG, by contrast, is tied to the characteristic and to the individual decision.
Protection against dismissal likewise lies outside the selection procedure: the dismissal of severely disabled persons requires the approval of the Integration Office (§ 168 SGB IX). It concerns the termination of the employment relationship, not the hiring decision, and is not examined further in this article.
4. Accessibility in the procedure and at the workplace
Accessibility concerns two levels: the workplace and the application procedure. For the workplace, the duty to provide 'reasonable accommodation' applies; adjustments may be funded by the Integration Office — for the funding rate and the application route, see the practice recommendation at the end of this section.
The AGG adds a second line of examination here: where an inherently neutral process — for example an application procedure without accessible access, or a selection test without any possibility of adjustment — is liable to put people with disabilities at a particular disadvantage, the definition of indirect disadvantage under § 3 AGG (§ 3(1) to (4)) must be examined. The design of the procedure itself therefore belongs in the risk assessment, not just the workplace.
Across both levels, the general duty of protection under § 12(1) to (3) AGG applies: the employer is obliged to take the necessary measures to protect against disadvantages — including preventive measures — and to point out that such conduct is impermissible; suitable training of employees counts as fulfilment of this duty. Where infringements occur, the employer must take appropriate measures such as a warning, redeployment, transfer or dismissal.
Practice recommendation (not a statutory requirement): include in the job advertisement a reference to an accessible application procedure and a named contact for any adjustments required — this moves the clarification ahead of the selection decision. Have the funding rate and the application route confirmed by the competent Integration Office before making any purchase.
5. Damages and compensation: § 15 AGG
A disadvantage in the application procedure triggers claims under § 15 AGG: damages under subsection 1 and compensation for non-material damage under subsection 2.
§ 15(1) AGG obliges the employer, in the event of an infringement of the prohibition of disadvantage, to compensate the damage caused — unless the employer is not responsible for the breach of duty. § 15(2) AGG additionally provides a claim for appropriate monetary compensation for non-material damage; where the applicant was not hired, it may not exceed three monthly salaries if the employee would not have been hired even under a selection free of disadvantage. In the practice of the Federal Labour Court, compensation typically ranges from one to three gross monthly salaries per claimant; higher amounts are conceivable in individual cases but must be specifically justified.
The time limit is decisive for the defence: a claim under § 15(1) or (2) AGG must be asserted in writing within two months, unless the parties to the collective agreement have agreed otherwise. In the case of an application or promotion, the period starts on receipt of the rejection, otherwise on becoming aware of the disadvantage. A two-month period also applies to civil-law claims (§ 21(5) AGG). Practice recommendation (not a statutory requirement): send rejection letters with proof of receipt — this evidences when the period started.
Not every application triggers claims: by judgment of 19 September 2024 (8 AZR 21/24), the Federal Labour Court held that applications made without any intention of taking up employment do not give rise to compensation; such constellations are treated as an abuse of rights.
6. Protected group of persons, prohibition of victimisation and complaints body
A person is severely disabled if they have a degree of disability (Grad der Behinderung, GdB) of at least 50; with a GdB of 30 to 49, equal status may be granted on application. The mandatory quota and the protection against disadvantage cover different groups of persons: what counts for the quota are positions within the meaning of § 156(1) SGB IX — positions held by employees, civil servants, judges, trainees and others engaged for their vocational training; the AGG's protection against disadvantage applies to employees within the meaning of § 6(1) AGG, expressly including applicants. In practice this means that quota relevance and protection against disadvantage must be examined separately — the two questions are not answered together.
The AGG expressly also protects those around an incident. Under § 16(1) AGG, the employer may not disadvantage employees for asserting rights under this section or for refusing to carry out an instruction that infringes this section; the same applies to persons who support employees or give evidence as witnesses.
The internal channel for this is set out in § 13(1) AGG: employees have the right to complain to the competent bodies of the establishment, the undertaking or the public authority if they consider themselves disadvantaged on a ground named in § 1 AGG; the complaint must be examined and the outcome communicated. Under § 12(5) AGG, the Act and the information about the body competent for complaints must be published within the establishment. Outside the establishment, affected persons may turn under §§ 25, 27 AGG to the Federal Anti-Discrimination Agency (Antidiskriminierungsstelle des Bundes), which provides independent support, informs about claims, arranges advice and seeks an amicable settlement. Practice recommendation (not a statutory requirement): publish the information by notice board or intranet — the text of the Act, the named body and how to reach it — and include the same version in the onboarding materials.
7. Duties and time limits at a glance (Germany)
The following table brings together who is subject to which requirement and what triggers it. It lists exclusively statutory requirements of German law — practice recommendations are marked separately in the text; for Austria, see the section below.
| Requirement | Addressee and trigger | Content / time limit | Source |
|---|---|---|---|
| Employment obligation and compensatory levy | employers with 20 or more employees | 5 % mandatory quota; if not met, EUR 140–720 per month for each unfilled mandatory position | § 154 SGB IX (mandatory quota); amounts of the compensatory levy: Federal Employment Agency overview (sources section) |
| Duty to examine where positions are vacant | all employers, where positions are vacant | examine whether vacant positions can be filled with severely disabled persons | § 164(1) sentence 1 SGB IX |
| Notification and invitation | public-sector employers; notification where positions become vacant or are to be newly filled, invitation where severely disabled persons apply | notification to the Federal Employment Agency; invitation of severely disabled applicants to an interview (dispensable where professional suitability is obviously lacking) | § 165 SGB IX |
| Non-discriminatory job advertisement | every job advertisement | a position may not be advertised in breach of § 7(1) AGG | § 11 AGG |
| Duties of protection and organisation | employer towards employees | necessary and preventive measures, instruction that such conduct is impermissible; suitable training counts as fulfilment | § 12(1)–(3) AGG |
| Publication within the establishment | employer | publish the Act and the information about the body competent for complaints within the establishment | § 12(5) AGG |
| Complaint and response | employees who consider themselves disadvantaged on a ground under § 1 AGG | the complaint must be examined and the outcome communicated | § 13(1) AGG |
| Prohibition of victimisation | employees who assert rights or refuse an infringing instruction; likewise supporters and witnesses | disadvantaging them on that account is prohibited | § 16(1) AGG |
| Assertion of claims | claimants under § 15(1) or (2) AGG | two months, in writing — unless the parties to the collective agreement have agreed otherwise; in the case of an application or promotion the period starts on receipt of the rejection, otherwise on becoming aware of the disadvantage | § 15(4) AGG |
| Compensation where no hiring takes place | infringement of the prohibition of disadvantage | appropriate monetary compensation; no more than three monthly salaries if the person would not have been hired even under a selection free of disadvantage | § 15(2) AGG |
| Burden of proof | proven indications suggesting a disadvantage | the other party bears the burden of proving that no infringement occurred | § 22 AGG |
| Dismissal of severely disabled persons | employer, on dismissing severely disabled persons | approval of the Integration Office required | § 168 SGB IX |
The hiring process — step by step
The sequence brings together the requirements evidenced above; steps marked as practice recommendations are not statutory requirements.
- Set out the selection criteria in writing before the first application arrives (practice recommendation).
- Check the advertisement against § 11 AGG (practice recommendation) — the statutory requirement is: a position may not be advertised in breach of § 7(1) AGG; only include self-commitment statements if they can be complied with in the procedure (practice recommendation).
- Examine whether the vacant position can be filled with severely disabled persons (§ 164(1) sentence 1 SGB IX, section 1); public-sector employers additionally notify the Federal Employment Agency and issue an invitation (§ 165 SGB IX; invitation under sentence 3, exception under sentence 4).
- Conduct a structured interview with a score sheet and justify the selection decision in writing (practice recommendation).
- Send the rejection — receipt of the rejection starts the two-month period under § 15(4) AGG; sending it with proof of receipt is a practice recommendation.
- Keep the documentation complete until the period has expired (practice recommendation).
Austria: neither SGB IX nor GlBG, but the BEinstG
All the provisions named above are German law: § 154, § 164, § 165 and § 168 SGB IX, as well as the AGG, do not apply in Austria. Anyone employing staff in Austria works with a different set of rules:
- Disability is not a GlBG characteristic. The catalogue of characteristics in the Austrian Equal Treatment Act covers sex (§ 3 GlBG) as well as ethnic origin, religion or belief, age and sexual orientation (§ 17 GlBG) — not disability. Claims for discrimination on grounds of disability therefore do not run through the GlBG.
- The relevant statute is the BEinstG. The prohibition of discrimination on grounds of disability in working life is set out in §§ 7a et seq. of the Disability Employment Act (Behinderteneinstellungsgesetz), in particular in § 7b BEinstG; outside working life, the Federal Disability Equality Act (Bundes-Behindertengleichstellungsgesetz, BGStG) applies.
- Do not transfer GlBG legal consequences. The minimum amounts under § 12 GlBG (sex) and § 26 GlBG (remaining grounds) — at least one month's pay where the position would have been obtained under a non-discriminatory selection, up to EUR 500 where the damage consists solely in the application not being considered — and the six-month period under § 15 and § 29 GlBG belong to the GlBG grounds. For disability, the legal consequences and time limits follow from the BEinstG; nor does the German two-month period under § 15(4) AGG apply there.
- Employment obligation, compensatory tax (Ausgleichstaxe) and special protection against dismissal for favoured disabled persons are, in Austria, set out in the Disability Employment Act (Behinderteneinstellungsgesetz, BEinstG) — with its own thresholds, its own amounts and its own approval procedure. The German figures (5 % from 20 employees onwards, EUR 140–720 compensatory levy for each unfilled mandatory position, approval of the Integration Office) must not be transferred to Austria; the authoritative text is the BEinstG as published in the RIS.
- Duty to invite: the duty to invite under § 165 SGB IX for public-sector employers does not apply in Austria; which procedural duties exist there follows from the BEinstG.
- Competent bodies: for the GlBG characteristics, the Ombud for Equal Treatment (GAW) and the Equal Treatment Commission take the place of the Federal Anti-Discrimination Agency; enforcement takes place before the Labour and Social Court. Under § 3 of the GBK/GAW Act, the GAW is responsible for advising and supporting persons who consider themselves discriminated against within the meaning of the GlBG.
Frequently asked questions
Who counts as severely disabled?
Who checks compliance with the duties towards severely disabled employees?
Must a private company invite severely disabled applicants to an interview?
Is the sentence "severely disabled applicants will be given preference where qualifications are equal" mandatory in job advertisements?
How long can a rejected applicant assert claims?
What must the employer prove in proceedings where a severely disabled applicant brings a claim?
What does a disadvantage in the application procedure cost?
Does the AGG also apply to our Austrian branch?
May an employee be disadvantaged for having supported a colleague in complaint proceedings?
Sources
- SGB IX § 154 (employment quota of 5% from 20 employees onwards), § 156(1) (definition of a position), § 165 („Besondere Pflichten der öffentlichen Arbeitgeber“ — special duties of public-sector employers; duty to invite for public-sector employers only), § 168 (protection against dismissal), gesetze-im-internet.de/sgb_9_2018
- SGB IX § 164(1) (duty of all employers to examine whether vacant positions can be filled with severely disabled persons), gesetze-im-internet.de/sgb_9_2018/__164
- German General Equal Treatment Act (AGG), §§ 1, 3, 6, 7, 11, 12, 13, 15 (subsections 1 and 2 compensation, subsection 4 two-month period), 16, 21(5), 22, 25, 27, gesetze-im-internet.de/agg
- Federal Labour Court, judgment of 19 September 2024 — 8 AZR 21/24 (no compensation for applications made without any intention of taking up employment)
- Federal Employment Agency — compensatory levy under SGB IX, arbeitsagentur.de/ausgleichsabgabe
- Austria: Equal Treatment Act (GlBG), § 3 (sex) and § 17 (ethnic origin, religion/belief, age, sexual orientation — disability not covered), § 12 and § 26 (minimum amounts of damages), § 15 and § 29 (time limits); Disability Employment Act (Behinderteneinstellungsgesetz, BEinstG), §§ 7a et seq., in particular § 7b (prohibition of discrimination on grounds of disability in working life) as well as the employment obligation, the compensatory tax and protection against dismissal; Federal Disability Equality Act (Bundes-Behindertengleichstellungsgesetz, BGStG) outside working life; Ombud for Equal Treatment (GAW, § 3 GBK/GAW Act) and Equal Treatment Commission, ris.bka.gv.at
- UN Convention on the Rights of Persons with Disabilities (UN CRPD), promulgation BGBl. 2008 II S. 1419
The figures taken over unchanged from the existing article — the mandatory quota and threshold, the amounts of the compensatory levy, the GdB values, the duty to provide 'reasonable accommodation', the approval of the Integration Office for a dismissal and the narrow interpretation of 'obviously' in the case law of the Federal Labour Court — are as at 2 May 2026, the date of the last update before this in-depth revision, not the first publication date of 26 April 2026. The authoritative source is the text of the law in force at the relevant time.