On 23 February, Germany’s chief executive body, the Federal Cabinet (Bundeskabinett) endorsed the Minister of Labour and Social Affairs, Hubertus Heil’s (SPD) bill raising the minimum wage to €12 per hour by 01 October 2022. The new ruling coalition has also approved an increase in the legal ceiling for mini-jobs (maximum of 15 hours per week) from €450 to €520 per month. While the German employers' federation (BDA) is considering challenging this legislative increase in the minimum wage, the trade unions have called on parliamentarians to halt the expansion of mini-jobs that lies ahead.
Throughout the course of his bid to secure the office of Chancellor, the Social Democrat candidate Olaf Scholz had promised to raise the minimum wage to €12 an hour as soon as possible. This promise has been kept. Adopted by cabinet on 23 February, Labour Minister Hubertus Heil’s first bill provides for an ‘extraordinary legislative increase’ in the legal minimum wage. Currently standing at €9.82 gross per hour, the minimum wage will rise to €10.45 per hour on 01 July 2022, in line with...
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