Are there differences in the treatment of employee rights under the ESUG and the StaRUG?
A key difference between the ESUG (the German act facilitating the restructuring of companies) and the StaRUG (the German Act on the Stabilisation and Restructuring Framework for Businesses) is that the StaRUG protects employees’ rights, whereas under the ESUG employee rights can be affected in certain cases. This tends to make the StaRUG less suitable for companies that rely on workforce measures.