Germany’s €13.90 minimum wage boost lifts pay for 4.8 million workers in 2026
Germany’s latest minimum wage increase has reshaped earnings for millions of workers. On January 1, 2026, the statutory rate rose to €13.90 per hour, directly affecting up to 4.8 million jobs. Another hike is already planned for 2027, with further changes expected across key industries.
In April 2025, nearly one in eight employment contracts paid less than the new €13.90 threshold. The adjustment pushed wages up for around 12 percent of all jobs, with women benefiting more than men. Around 14 percent of women’s roles saw a pay rise, compared to 11 percent for men.
The hospitality sector faced the biggest impact, with 47 percent of jobs requiring wage increases. Retail followed closely, as 38 percent of positions in the industry fell below the minimum. Affected employees gained an estimated 6 percent boost in total earnings, adding roughly €275 million to payrolls nationwide. A further rise to €14.60 per hour is scheduled for January 1, 2027. Based on 2025 wage data, this change could affect around 7 million jobs—about 18 percent of all contracts. Total earnings may then climb by an additional 4 percent, or approximately €315 million.
The minimum wage hikes have already lifted pay for millions, particularly in hospitality and retail. With another increase due in 2027, further adjustments will follow for a significant share of the workforce. The changes are set to redistribute earnings, with women and low-wage sectors seeing the most noticeable effects.
