Germany’s, Parental

Germany’s Parental Leave Overhaul Faces Accusations of ‘Setback for Gender Equality’

Published on 07/08/2026 at 16:41 | Redaktion boerse-global.de

Germany's parental leave reform shortens max duration to 12 months with higher monthly payments, aiming to save €500M yearly; unions and women's groups criticize as cost-cutting that strains families.

Germany's Parental Leave Reform: 12-Month Max, Higher Payments
Germany’s Parental Leave Overhaul Faces Accusations of ‘Setback for Gender Equality’ Illustration mit AI erstellt ĂŒbermittelt durch boerse-global.de

An ambitious plan to restructure Germany’s parental leave system has drawn sharp criticism from labour unions and women’s rights groups, who warn the changes will put added pressure on families while failing to keep pace with inflation.

Family Minister Karin Prien unveiled a proposal to shorten the maximum period for basic parental leave (Basiselterngeld) from 14 months to 12 months, but increase monthly payments. The so-called 3-6-3 model would reserve three months exclusively for one parent, three months exclusively for the other, and allow the remaining six months to be divided freely between both. The number of mandatory partner months would rise from two to three.

Single parents would still be entitled to up to 12 months of leave, and the optional Elterngeld Plus stays unchanged. In parallel, the ministry plans to amend the Mutterschutzgesetz (Maternity Protection Act) to cap employment bans after childbirth at 12 months. If approved, the new rules take effect on 1 November 2027.

Higher monthly sums, shorter overall duration

Under the reform, the minimum monthly payment jumps from €300 to €330, while the cap rises from €1,800 to €1,900. The benefit remains set at 65 percent of previous net income. Both parents can continue to draw leave simultaneously without any time limit.

The motivation is fiscal. The Family Ministry estimates savings of roughly €500 million per year starting from 2027, with cumulative reductions reaching €1.6 billion by 2030. For context, in 2025 some 1.61 million people received parental leave benefits, costing the government €7.1 billion.

Critics call it a pure cost-cutting exercise

Elke Hannack, deputy chair of the German Trade Union Federation (DGB), labelled the plan “a step backwards for gender equality”. While she welcomed the extra partner month, Hannack argued that cutting the overall period and failing to adjust payments adequately for inflation would strain family budgets.

The German Women’s Council and the Social Welfare Association (SoVD) echoed the charge, describing the reform as nothing more than a savings package that threatens mothers’ economic independence.

Labour market data from the latest Family Report for North Rhine-Westphalia underscores the imbalance: in 2024 mothers worked an average of 27 hours per week, compared to 39 hours for fathers. Women still spend roughly twice as much time on childcare and housework as men.

A 2025 survey by the Bertelsmann Foundation found that 45 percent of women and 42 percent of men would prefer an equal split of seven months each of parental leave. Yet in reality, only 25.9 percent of benefit recipients in 2025 were fathers.

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