After the swift approval of a series of laws (in particular that regarding the minimum wage) which considerably increase, according to employers, the administrative burden on companies, the grand coalition government has promised to take steps to curb this trend. On 25 March, the government’s cabinet met and passed a bill regarding “the reduction of bureaucracy”. In addition to these measures which should allow companies to save 744 million euros per year, the new bill also plans to put in place a system to “curb bureaucracy”. As of 1 July 2015, any bill or decree leading to an increase in administrative costs must be counter-balanced with a relief, of the same magnitude, in another area. Through this bill, Angela Merkel’s government hopes to restore its relations — which are strained at best — with employers.
Setting up “bureaucratic accounts”. “The large number of obligations which we have imposed upon companies has brought them to breaking point. (…) the government believes that it is now its duty to prevent further growth of the administrative jungle”, acknowledges the secretary of state Helge Braun (CDU), who is in charge of lightening the administrative burden within the chancellery. To achieve this, the government has adopted a system working according to the ‘one in, one out’ principle. In ot
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