Federal Collective Bargaining Agreement

Federal Collective Bargaining Agreement is a central collective agreement for the construction industry. It regulates fundamental working conditions such as working hours, holiday entitlement and basic pay.

The BRTV, together with the Occupational Collective Agreement (VTV) the standard wage rate for the industry-specific system in the construction industry.

Basics

In the construction industry, special collective agreement regulations apply that may deviate from general labour law standards. The BRTV [Federal Collective Agreement for the Construction Industry] defines how central framework conditions are to be designed and creates a uniform structure for construction industry businesses.

Tariff framework and scope

The BRTV applies to companies that fall within the scope of the collective bargaining agreements for the construction industry, both in terms of subject matter and operations. The collective agreement definitions of construction services and the actual operational activities are decisive.

It is closely related to the social fund procedure and thus to institutions such as SOKA-BAU and the ULAK.

Classification in the construction payroll system

For the Payroll accounting The BRTV is of central importance. It includes, among other things, regulations on working hours, holiday entitlements, and certain components of remuneration.

Terms such as Holiday entitlement (Construction), Working time account (construction) or negotiated hourly wages are closely linked to the provisions of the collective agreement.

Practical relevance

Construction companies must check whether they fall within the scope of the BRTV. If this is the case, the working and pay conditions regulated therein must be taken into account in the practical implementation in the company and in payroll.

Typical sources of error

  • Incorrect assessment of the operational scope
  • Incomplete consideration of contractual working time or holiday regulations
  • Lack of coordination between tariff specifications and practical billing

FAQ

The BRTV regulates which workers are covered by the collective agreement, including their job titles and corresponding pay scales. It also outlines the working hours, holidays, and leave entitlements for employees, as well as rules for terminating employment and notice periods. Furthermore, it addresses guidelines for continuing vocational training and supplementary pensions.

The BRTV regulates fundamental working conditions in the construction industry, particularly working hours, holiday arrangements, and pay scales.

The BRTV applies to whom?

For businesses in the construction industry that fall under the scope of collective agreements.

BRTV is important for holiday pay because it specifies the minimum number of holiday days and holiday pay for construction workers.

Because it defines the framework conditions that must be observed in construction for working hours, holiday, and wage settlements.

Conclusion

The BRTV (Federal Framework Collective Agreement) is a central collective agreement for the construction industry. It defines the basic working and pay conditions and forms an essential basis for correct construction wage calculation.

Author the BAS editorial team This glossary entry is for general information only.

Brasser Accounting Solutions GmbH is a specialised accounting service provider and part of a corporate group with Quint GmbH (tax consultancy/auditing) and Service Place Årjäng AB (Swedish tax office). BAS exclusively performs services according to § 6 No. 3 and 4 StBerG and does not provide tax or legal advice.