Write a job reference as an authorized signatory

The answer to the question arises at least indirectly from the law and from the fact that a Conflict of interest must be avoided and you have a right and must also be interested in that your certificate of employment is valuable.

• In accordance with Section 48 of the German Commercial Code (HGB), the power of attorney is granted by the owner of the commercial business in a partnership or by its legal representative in the case of a corporation.
• Because of your power of attorney, as an authorized signatory, you are authorized to carry out all transactions and legal acts that arise in day-to-day business. But here, too, the principle that appears in many places in the law applies that conflicts of interest are to be avoided and that no one is allowed to be a judge in his own case.
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• In accordance with Section 181 of the German Civil Code (BGB), such self-dealing is expressly prohibited. If your own interests are affected, a third person must always be involved.

Only higher-ranking people are allowed to issue a job reference

• Of course, it is easiest if your job reference is signed by the owner of the partnership or the managing director of the GmbH or the board of directors of the stock corporation. Then you are on the safe side. So you should always insist on the signature of the company owner or a legal representative.


Signature ppa on behalf of the management - you should know that

Anyone who signs with ppa must know what they are doing. Authorized representatives only ...

• However, the company owners have often delegated this task. In this case, the signature of another authorized signatory may be sufficient if he is a member of the management. In addition, he must expressly indicate his membership of the management in the job reference and can otherwise sign with the suffix "ppa".
• In a case decided by the Federal Labor Court (BAG, Az.: 9 AZR 392/00), it was in particular about the case that an individual authorized signatory had issued a reference for a general authorized signatory. A general power of attorney is shared with several people, while the individual proxy can act with sole responsibility. His decision-making authority is therefore of higher value. However, the general authorized signatory expected the manager's personal signature.
• The Federal Labor Court gave the direction. In such a case, the job reference must be signed by a person who is higher than the general manager. Only then will the risk of a conflict of interests be averted and the competence to assess the general manager as an employee guaranteed.

An authorized officer is not just an authorized officer

• An individual authorized signatory is in rank above a general authorized signatory and can thus sign his job reference. However, he must make his position clear in the job reference and emphasize his authority to issue instructions. This is the only way for a foreign employer to recognize that a higher-ranking person has signed the job reference.
• In this respect, Section 48 I of the German Commercial Code (HGB) can also be used as a justification. If the business owner can only personally grant power of attorney, he is also responsible for everything related to the formation or termination of this position. This also includes issuing a job reference.
• In this respect, the Federal Labor Court demands that the authorized signatory signing the job reference must belong to the management himself. So if you, as a general authorized signatory, require a job reference, it is sufficient for a higher-ranking person to sign. This can be an individual authorized signatory, provided that he himself belongs to the management and clarifies his position as a person authorized to issue instructions in the job reference.

If you, as an individual authorized signatory, require a job reference, the business owner must ultimately be the person of higher rank sign, as he is ultimately the only person left in the company who is authorized to issue instructions to you.