Germany Plans Raising Minimum Wage by 2027
(MENAFN) Germany has revealed plans to elevate its statutory minimum wage to EURO14.60 (USD17.10) per hour by the year 2027, a significant increase from the current rate of EURO12.82, according to reports from news agencies.
Christiane Schonefeld, who leads the Minimum Wage Commission—a body set up by the government and made up of both employer organizations and labor union delegates—shared the update with media representatives in Berlin.
The commission has laid out a two-step plan for the pay hike. In the initial stage, they recommend raising the minimum hourly pay to EURO13.90 starting next year.
The second stage would implement a further boost to EURO14.60 beginning in January 2027.
Schonefeld noted that the panel reached the conclusion with complete agreement among its members.
Germany's statutory minimum wage was first introduced in 2015 at EURO8.50 per hour before tax, and it has been gradually adjusted upward over the years.
To become law, the proposed wage hikes will need to be officially enacted through legislation by the Federal Ministry of Labor and Social Affairs.
It is important to highlight that the federal administration does not have the authority to amend the wage panel’s recommendation.
In the run-up to the February elections, both the Social Democratic Party (SPD) and the Greens pushed for a EURO15 minimum wage, whereas the Christian Union (CDU/CSU) stressed the independence of the Minimum Wage Commission.
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