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Minimum Wage Commission Backs Two-Step Increase to €14.60, Falls Short of €15 Target

The panel’s recommendation seeks to align Germany’s wages with EU guidance to curb business costs

Overview

  • The Minimum Wage Commission unanimously recommends raising Germany’s statutory minimum wage to €13.90 per hour from January 2026 and to €14.60 from January 2027.
  • Full-time minimum-wage workers will see gross monthly pay rise by about €190 in 2026 and €310 in 2027.
  • SPD’s earlier promise of a €15 wage in 2026 will not be met, leaving employees roughly €2,288 short in annual income compared with the pledge.
  • Critics warn that unchanged social contributions will significantly reduce workers’ net gains and that firms, especially small businesses, could pass costs onto consumers.
  • Critics in taz and union circles call for dissolving the Minimum Wage Commission and directly applying the EU’s 60 percent median-wage directive to guarantee a genuine €15 floor.