The figure is lower than what the ruling coalition had initially agreed to.
The minimum wage will first rise to €13.90 at the beginning of next year. By 2027, the country’s full-time workers on minimum wage will typically earn around €2,500 a month.
The country would then have the second-highest minimum wage in the European Union next to Luxembourg, which mandates a monthly minimum of €2,638, according to 2025 Eurostat statistics.
Labour Minister Baerbel Bas welcomed the agreement, saying it "shows that social partnership in this country works”. He asked the government to make this adjustment legally binding as of January 1, 2026, according to global newswires.
Germany has witnessed two years of economic contraction. The number of unemployed has reached 3 million for the first time in a decade.
The Ifo Institute’s employment barometer recently showed companies in Germany are growing more cautious in their personnel planning.
ALCHEMPro News Desk (DS)
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