Minimum wage 12 euros – decided by the SPD in the election campaign, now the way is clear for raising the lower wage limit. It is also hoped that fundamental improvements will result from more collective agreements.
Millions of workers in Germany will receive higher wages from October 1st. On Friday in Berlin, the Federal Council approved the increase in the statutory minimum wage to 12 euros per hour from October 1st.
With the state chamber refraining from appealing to the mediation committee, the increase in the minimum wage limit cleared the last hurdle in legislation.
The mini-job limit also increases by 70 euros
The gross minimum wage is currently EUR 9.82. On July 1, it will rise to EUR 10.45 per hour, and then on October 1 to EUR 12 per hour. At the same time, the limit for mini-jobs in October will rise from 450 to 520 euros per month.
The Bundestag had passed the bill by Labor Minister Hubertus Heil (SPD) a week earlier. The draft law assumes that there are currently around 6.2 million employees with an hourly wage of less than 12 euros. Later, the Minimum Wage Commission made up of employers and employees will again be responsible for setting the lower wage limit. The next adjustment is scheduled for January 1, 2024.
Minimum wage increase is the core promise of the SPD
Chancellor Olaf Scholz (SPD) had made raising the lower wage limit a core promise of the federal election campaign. Mecklenburg-Western Pomerania’s Prime Minister Manuela Schwesig (SPD) said in the Bundesrat that wages should be so high that you can live with them sensibly and ultimately get an adequate pension. In addition, the goal must also be that more employees receive a collective wage.