Tag Archive: minimum wage

Trucks drivers passing through Germany may be subject to statutory minimum wage

The Federal Constitutional Court (Bundesverfassungsgericht) decided on 25 June 2015 (docket number: 1 BvR 555/15) that it is not competent to rule on the applicability of the Minimum Wage Act to transnational carriers. Companies are required to bring this issue before the relevant local courts first before the Constitutional Court may rule on the applicability. …

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Documentation obligations for minimum wage employers reduced

With effect from 1 August 2015 the Regulation on Minimum Wage Documentation (Mindestlohndokumentationspflichtenverordnung) was amended by the Federal Ministry for Labor and Social Affairs. Since the Minimum Wage Act (Mindestlohngesetz) came into effect on 1 January 2015 a documentation requirement was imposed on employers which employ low-paid employees (earning a maximum monthly salary of EUR …

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Minimum wage even for non-working time – a signal from the German Federal Labour Court

The new Minimum Wage Act (Mindestlohngesetz (MiLoG)) raises a number of questions including how to deal with lost working time due to public holidays, sick leave or annual leave. Does the employer need to pay the statutory minimum wage for such non-working time? It may take a while until the Federal Labour Court clarifies these …

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Roundup on the New Minimum Wage

Since the nationwide statutory minimum wage of EUR 8.50 per working hour entered into force on January 1, 2015, court cases dealing with minimum wage issues are slowly starting to trickle in. Here we present two new decisions on this topic. The Berlin Labour Court (Arbeitsgericht Berlin, ArbG) recently held that the dismissal of employees …

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There is no way around it

As the nationwide statutory minimum wage of EUR 8.50 has been in force for a good two months now, the first court cases dealing with minimum wage issues start rolling in. According to a recent decision by the Berlin labour court (Arbeitsgericht Berlin, ArbG), additional vacation pay and annual additional payments will not count towards …

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Minimum wage from 1 January 2015 – Part II

In the second part of our two-part overview, we will address further obligations and liability with regard to the implementation of the new statutory minimum wage. Can the minimum wage entitlement be waived? The minimum wage is mandatory (sec. 3 of the Minimum Wage Act). Agreements according to which the employee’s remuneration will be less …

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Minimum wage from 1 January 2015 – Part I

On 1 January 2015 the Minimum Wage Act (Mindestlohngesetz, MiLoG) will come into force and introduce the first nationwide minimum wage for all sectors in Germany. On this occasion, we will provide you with a two-part overview covering relevant questions. Who is entitled to the Minimum Wage? All employees who are employed in Germany are …

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Minimum wage from 2015

The lower house of the German Parliament (Bundestag) has approved the nationwide minimum hourly wage of EUR 8.50 (GBP 7.11, USD 11,55) to start on 01 January 2015. The consent of the upper house (Bundesrat) for the bill to become law is still required but it is to be expected that the Bundesrat will approve …

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Minimum Wage Legislation Goes Forward

The time when Germany did not have a statutory minimum wage will soon be over. The German government’s initiative for a minimum wage has resulted in a 23 page legislative proposal. The bill was submitted to the Bundestag, Germany’s lower house of parliament, at the end of May and had its first reading on 5 …

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German cabinet has endorsed a draft bill to introduce a nationwide minimum wage: More money for 3.7 million people

As part of the coalition agreement, the parties of the joint administration under the lead of Chancellor Angela Merkel planned to introduce a minimum hourly wage of EUR 8.50 (GBP 7.11; USD 11.55) (see our post dated December 20, 2013).  On April 2, 2014, the German cabinet endorsed a draft bill to introduce a nationwide …

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