Cross-Border, Wage and Hour

German Parliament Approves Increase in Minimum Wage to €12 per Hour, Effective October 1, 2022

July 5, 2022

The statutory minimum wage in Germany will increase to €12 per hour, effective October 1, 2022.

On June 3, 2022, the German Bundestag approved legislation introduced by a coalition of parliamentary groups that will raise the national minimum wage from the current €9.82 per hour to €12.00 per hour by October 1, 2022.

These are the changes to be expected:

The increase in the minimum wage will result in a monthly gross salary of at least €2,080 for a full-time job (forty-hour week).
In the future, the remuneration limit for marginally employed persons (“mini-jobs”) will be dynamic and based on a weekly working time of ten hours. Mini-job monthly pay will thus rise to €520.
For employees in transitional employment (“midi-jobs”), the monthly remuneration limit will be raised to €1,600.

The current statutory increase represents an exceptional case of fulfilling an election promise. Future adjustments to the minimum wage will again be negotiated by the Minimum Wage Commission, which consists of employer and union representatives, as expressly provided for in the Minimum Wage Act. The Minimum Wage Commission’s next decision is scheduled to occur on June 30, 2023, and would take effect on January 1, 2024.

Wage and Hour Series: Examples of Off-The-Clock Work Violations Involving Use of Technology

In this, the second post in our series on hot topics in the wage-and-hour arena, we focus on some of the off-the-clock pitfalls that face employers. Off-the-clock issues are particularly challenging given the new way that companies conduct business in the 21st Century—via email, checking voice mails, and working remotely…..

Three people talking with reflection of skyscrapers overlaid.

New Jersey Adopts “Employment First” Initiative

On April 19, 2012, Governor Chris Christie announced that New Jersey will become the 14th state to adopt the “Employment First” initiative. The Employment First initiative will require the state government to eliminate any barriers or practices that might prevent persons with physical, developmental, and mental disabilities from being employed and will increase the employment opportunities available to persons with disabilities.

Man talking to woman while writing on notepad, framed by justice scale on desk.

Employers’ Duty to Process Wage Garnishments Remains Unchanged During COVID-19

We are experiencing extraordinary times. But even in our current situation of the global coronavirus pandemic, many employer responsibilities will still continue nearly unaffected. One of those is the requirement to properly process wage garnishments. This duty cannot be ignored because compliance failures can result in an employer becoming liable for an employee’s entire debt —and legions of collections lawyers will likely look to capitalize on employer omissions and mistakes.

Recommended Reading

Wage and Hour Series: Examples of Off-The-Clock Work Violations Involving Use of Technology

New Jersey Adopts “Employment First” Initiative

Employers’ Duty to Process Wage Garnishments Remains Unchanged During COVID-19