On Saturday, German Chancellor Olaf Scholz said that his Social Democrats (SPD) were sticking to their election pledge of raising the national minimum wage to 12 euros an hour because it was vital to show respect for low-income workers.
Hubertus Heil, the Social Democrat Labour Minister, submitted a draft law on Friday seeking to raise the wage level from the current 9.82 euros starting in October.
“Raising the minimum wage to 12 euros is, in my opinion, one of our most important legislative objectives, and it demonstrates appreciation for employees’ achievements. I’m relieved it’s finally on its way!, “On Twitter, Scholz stated.
The labour ministry estimates that the rise will benefit more than 6 million individuals across the country and will cost employers 1.6 billion euros in October-December.
On Friday, Heil told Reuters that he expects the reform to benefit employees in eastern Germany, as well as women working in the care sector and other services where pay are usually low.
On Friday, the labour ministry circulated its proposal to other departments, with the Social Democrats expecting their junior coalition partners, the Free Democrats and Greens, to support the bill, as agreed in coalition discussions last year.
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