Minimum wage introduced


The German Parliament voted yesterday to introduce a minimum wage from 2015.

The minimum wage will be €8.50 from 1st January 2015 and is expected to benefit up to 3.7 million low paid workers.

The bill was criticised by trade unions because of a number of exemptions and transitional arrangements within the law which could create loopholes.

The bill was also criticised by employers saying that it could cost jobs. One think tank said that as many as 900,000 jobs could be lost most of which would be part-time.

Exemptions include:

• Long term unemployed will not be covered for the first six months in a new job if their employer is not part of a collective scheme
• Newspaper deliverers and seasonal workers are exempted until 2017
• Interns and students are not covered.

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