Minimum wage revolution: Commission will soon decide on 15 euros!

Minimum wage revolution: Commission will soon decide on 15 euros!

In Germany, the discussion about the minimum wage is reaching an exciting climax. The Minimum Wage Commission's negotiations are in the final phase and are expected to deliver a result by June 30th that will be crucial for the next two years. The current minimum wage is 12.82 euros per hour; it was introduced in 2015 and applies to almost all employees in Germany, with a few exceptions. So what will become of the required 15 euros, which are currently very popular?

Some actors, such as the German Social Association, are even calling for a minimum wage of 15.12 euros. The SPD, on the other hand, has set the goal of the minimum wage being at least 15 euros by 2026, based on the EU guidelines, which stipulate that the minimum wage should cover 60% of the median income. That would be a step in the right direction, as Germany has often fallen below the international reference value in the past, which is fueling rumors of an increase.

Political tensions and resistance

While trade unions, particularly the DGB, are demanding 15.27 euros for 2026, employers are vehemently warning about the economic consequences of an increase to 15 euros. Things will also be turbulent in the political sphere, as possible tensions within the coalition are expected, depending on the outcome of the commission. The Union parties reject a political minimum wage and could thus give the negotiations an additional twist.

Christiane Schönefeld, the chairwoman of the Minimum Wage Commission, has not yet commented on the current status of the negotiations. A consensual decision by the Commission would be desirable in order to avoid further intervention by the chair and thereby possible conflicts. The final decisions were anything but amicable.

The role of the Minimum Wage Commission

The Minimum Wage Commission is not only tasked with evaluating the level of the minimum wage, but also the impact on employee protection, competitive conditions and employment in certain sectors and regions. This commission, which meets every two years, reports its findings to the federal government. The level of the minimum wage should be aligned with collective bargaining trends, which means that an increase in the next few years is quite likely.

The most recent studies and calculations also support an increase to around 15 euros. An analysis by WSI and IMK cites a minimum wage of between 14.88 and 15.02 euros for 2026 and even up to 15.48 euros for 2027. The Kaitz index, which measures the ratio of the minimum wage to the median wage of full-time employees, is also an important key figure in the debate. This has currently increased to 51.7% since the last increase in 2023.

With the minimum wage as a firmly established regulatory instrument, it remains to be seen whether the Commission can meet the demand for a modern minimum wage - and whether this will happen without political complications. It is clear that the next few days will be crucial in influencing the fate of many employees in Germany.