German Businesses Warn of 'Backdoor Abolition' as Minijob Costs Set to Spike in July
19.06.2026 - 03:41:33 | boerse-global.de
A fresh wave of regulatory changes taking effect this July is reigniting a fierce battle over Germany’s beloved Mini?Job model. Industry groups are crying foul over planned increases to employer social contributions, while lawmakers defend the moves as a push toward more secure employment.
The most contentious element: a proposed hike in the employer’s health insurance contribution for Mini?Jobs from 13 to 17.5 percent, plus a brand?new 3.6 percent levy for long?term care insurance. Trade associations Dehoga (hotel and restaurant sector) and HDE (retail) have warned the combined burden would effectively “abolish Mini?Jobs through the back door.” The SPD counters that the reforms will encourage workers to move into fully insured positions.
Starting 1 July 2026, Mini?Jobbers gain a one?time opportunity to opt back into compulsory Rentenversicherung (statutory pension insurance). This is particularly relevant for those who need 36 contribution months within the past five years to qualify for disability pensions. The decision must be taken by the individual and is irreversible, experts caution.
Separately, the monthly earnings threshold for Mini?Jobs now sits at €603, up from earlier levels. Anyone earning above that automatically enters the so?called Midijob zone, where social insurance contributions phase in gradually. The national minimum wage rose to €13.90 per hour in January, affecting roughly 39,000 marginal employees in the city of Bielefeld alone.
The first of July also brings a rebranding of the welfare system: Bürgergeld becomes Grundsicherungsgeld (basic security benefit), accompanied by sharper sanctions. A first violation can trigger a 30 percent cut in payments. Pensioners get good news: state pensions will increase by 4.24 percent. New minimum wages in long?term care take effect as well – €16.52 for aides, €21.03 for skilled carers.
Retail giant dm is currently expanding its Mini?Job workforce nationwide. In Hagen it seeks a cleaner for 12 hours a week on a 12?month contract; positions for shelf?stackers (4–8 hours weekly) are open in Munich and Westoverledingen. The Federal Employment Agency reports a particularly high number of Mini?Job vacancies in Braunschweig and Hannover as of mid?June.
Unrelated to the labour law overhaul, dm has issued a recall for its babylove brand feeding spoons, batch numbers 2521 and 2532. Small parts may detach, posing a choking hazard to toddlers. Customers can receive a full refund without a receipt.
