The Federal Statistical Office has calculated what the two-stage increase in the statutory minimum wage could bring.

The two-stage increase in the statutory minimum wage will primarily benefit workers in the eastern German states. This is estimated by the Federal Statistical Office based on wage statistics from April 2024.

At that time, there were around 6.6 million jobs below the minimum wage of €13.90 per hour, which is to apply from January 1, 2026. If wages rise to the new level, the total earnings of the approximately 6.6 million affected employees will increase by 6 percent, or €400 million.

If the minimum wage then rises again to €14.60 on January 1, 2027, there will be a further increase for approximately 8.3 million jobs by around 4 percent, or €430 million, according to statisticians' maximum figures. In reality, the increases for both levels may be somewhat lower because interim wage increases since April 2024 were not taken into account in the model.

Women and people in eastern Germany tend to benefit more frequently from increases in the statutory minimum wage. This is because they are particularly strongly represented in the lower wage brackets. In the first stage of the increase, 20 percent of women and 20 percent of all employees in eastern Germany would receive wage increases. For men, the figure is only 14 percent, and in the west, 16 percent. Significant cost increases are coming to the hospitality industry, where 56 percent of employees expect a wage increase.