Recent developments in Germany
Employment law is always changing, and keeping up with it is a lot of work. Thankfully, our team is always working to stay abreast of the latest changes, so you don’t have to. Here are some of the newest developments in Germany.
Statutory Minimum Wage Increase (2026)
From January 1, 2026, Germany’s statutory minimum wage increased to €13.90 per hour. Employers must ensure all eligible workers (including many temporary agency workers, depending on the applicable framework) receive at least this hourly minimum.
Extended Short-Time Work Allowance (Kurzarbeit) Window (2026)
The maximum entitlement period for short-time work allowance can be up to 24 months, limited through December 31, 2026. This gives employers a longer runway to manage downturns while retaining staff.
New Employer Information Duty for Recruited Third-Country Nationals (2026)
From January 1, 2026, employers who recruit non-EU/EEA (“third-country”) nationals from abroad on German local contracts must inform them no later than the first working day about their right to seek advice from designated counseling centers on labor and social law matters, and provide relevant contact details.
Text-Form Contracts for Temporary Agency Work (2026)
In temporary agency work, agreements between staffing agencies and user companies may be concluded in text form (e.g., email), reducing administrative friction and supporting more digital workflows.
Digital HR Formalities Expand (2026)
Several employment-law processes continue shifting toward digital/text-form communications (where permitted), enabling more fully digital onboarding and HR documentation—while terminations and many fixed-term contracts still require strict written form under German law.
