The introduction of the minimum wage was voted at the start of July 2014 and is to be implemented from January 1, 2015. The policy comes with a 2 year phasing in period beyond which time no sector can avoid its implementation. Although the law has not yet officially come into force the effects of what can be considered a cultural revolution for the German workforce have already been felt. Several sectors known for ‘flexible wage’ work are to incorporate the minimum wage. At this time the costs and benefits of the national minimum wage are being hotly debated.
Pressure to negotiate is rising. Germany’s first-ever national minimum wage has not yet been implemented. However January 1, 2015, the date when it will be implemented is a main focus of attention for employers, especially those in the service industry- a sector that employs many low-wage workers (cf. article No. 8498). Provisions in the law are pushing the social partners to negotiate on minimum wage levels.
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