The German government has officially confirmed that the statutory minimum wage will rise to 13.90 euros per hour from January 1, 2026, and then a year later, from January 1, 2027, to 14.60 euros.

The decision was adopted by the federal council of ministers on the proposal of Federal Minister of Labour Bärbel Bas, writes bmas.de, thereby accepting the recommendation of the Minimum Wage Commission adopted on June 27, 2025.

According to calculations, this is an increase of 8.42 percent in 2026 and an additional 5.04 percent in 2027, meaning that the total increase over the two-year period will reach almost 14 percent.

More money for millions of employees

This decision represents one of the biggest changes in the German labor market since the introduction of the statutory minimum wage. According to the labour minister, the increase ensures that the agreement reached between representatives of workers and employers becomes legally binding, and thus a guarantee that millions of employees in Germany will feel a real increase in their income.

The government says that the decision on the gradual increase was made with the aim of achieving a balance between social justice and economic sustainability. Companies will thus have enough time to spread the rise in labor costs over two years, while employees will receive visibly higher wages from the beginning of 2026.

The biggest increase since the minimum wage exists

Germany introduced the statutory minimum wage in 2015, and this increase of almost 14 percent represents the biggest and most important so far, adopted with the consent of trade unions and employers. The government emphasizes that this step further strengthens the position of lower-income workers and increases respect for those who, through their work, keep the economy and society running every day.

The increase in the minimum wage is thus presented as an important step toward greater fairness and recognition of the value of work, with a clear message that everyone who contributes to the community should be able to live with dignity from their job.