Germany: incoming coalition government plans minimum wage hike and seeks gender pay equality

Two months on from the federal elections and five weeks after commencing negotiations, conducted in the utmost secrecy, Germany’s Social Democratic Party (SPD), the Greens and the liberal Free Democratic Party unveiled their “coalition contract”, which will serve as their programme for government for the next four years. Unveiled on 24 November, the contract contains various positions on social matters, where the three parties held differing stances during the election campaign (see article n°12682). Compromises have been reached on topics including the minimum wage, working time and codetermination, provoking mixed reactions from the social partners.

Through . Published on 26 November 2021 à 11h47 - Update on 26 November 2021 à 11h47

Minimum wage rise. The legal minimum wage, which currently stands at €9.60 per hour, will be raised in a single step to €12 per hour from next year. According to the future Chancellor Olaf Scholz, this move is set to benefit almost 10 million workers. The future coalition will also support the European Commission’s proposal for a directive on “adequate minimum wages” which should allow workers in across the bloc to “live in dignity wherever they work”.…

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