Overview

• The independent Mindestlohnkommission unanimously endorsed raising the statutory minimum wage from €12.82 to €13.90 on January 1, 2026, and to €14.60 on January 1, 2027.
• Chairwoman Christiane Schönefeld’s mediation proposal broke an earlier deadlock between employer and employee representatives.
• Federal Labour Minister Bärbel Bas announced she will implement the commission’s recommendation by regulation, making the increases legally binding.
• The phased hike is set to benefit about six million workers and add roughly €5.7 billion in wages over two years while cutting the number of top-up benefit claimants.
• Left-wing parties have criticised the rise as insufficient and demanded a €15 rate, while some eastern business associations warned of higher costs and potential job losses.