They qualified for the badge after completing two months of qualifying service and five operational flights in the role of observer, navigator or bombardier; also, it could be awarded after a member of the German Air Force was wounded while acting in the capacity of an observer during a qualifying flight.

[2][3] After 31 July 1944 the regulations were changed and the recipient had to have held both qualification certificates for at least one year to qualify for the Pilot/Observer Badge.

The badge was oval in shape and had a silver-plated oakleaf wreath around the outside.

The middle of the wreath had an "oxidized" national eagle "in a watching attitude", clutching a Nazi swastika in the middle of the outside wreath.

The badge measured 42mm wide by 53mm high and the wingspan of the eagle's wings in the middle was 53mm.