It's easy to fire employees in Germany (especially in small shops), e.g. when they steal, are always late, are badmouthing colleagues, are talking about company internals, are insolent to customers, deliver bad work, and on and on.
You simply have to follow a defined process (basically at least one written warning for the same thing before firing).
What you can't do is having a Musk style temper tantrum and fire someone at will because you feel like that.
Source: I had to fire multiple people in Germany.