Germany’s Push for Weekly Work-Time Limits Splits Business as Berlin Hospital Giant Clinches Long-Term Union Deal
Published on 06/25/2026 at 13:36 | Redaktion boerse-global.de
The hospitality and catering industry is pushing back hard against a proposed overhaul of Germany’s working-time rules, arguing that the new flexibility would benefit only unionised firms while thousands of small and medium-sized businesses are left out. The criticism came as Labour Minister Hubertus Heil’s ministry released a draft bill on 23 June that would allow collective bargaining partners to agree on a weekly maximum working time instead of the current daily cap.
Under the draft, the standard eight-hour day would remain the baseline—extendable to ten hours as before. But for companies covered by a collective agreement, the daily limit could be stretched further across the week, provided the average over twelve months does not exceed 48 hours per week. The mandatory eleven-hour daily rest period could also be waived in certain circumstances. In exchange, employers would have to record working hours electronically on the same day, with exemptions only for micro-enterprises or specific collectively bargained rules.
The German Hotel and Restaurant Association (DEHOGA) immediately condemned the proposal. “This is a setback for the medium-sized service sector,” said Hauptgeschäftsführerin Ingrid Schimke, noting that non-union businesses would get no access to the new flexibility.
Data from the Institute for Employment Research (IAB) underlines the problem. Among roughly 9,300 companies surveyed, only nine percent are bound by collective agreements and also interested in flexible working beyond ten hours. The researchers suggest opening the option to non-union businesses as well—provided they guarantee health monitoring for staff.
The Federal Association of System Gastronomy echoed that demand, calling for practical solutions without mandatory collective bargaining. The sector employs around 120,000 people and generated roughly €36 billion in sales last year.
Meanwhile, a very different picture emerged in Berlin. The publicly owned hospital group Vivantes has signed a landmark collective agreement with the ver.di union, covering about 2,200 employees in logistics, cleaning, technical services, rehabilitation, and medical care centres. After long negotiations and strikes, the deal runs for an unusually long 72 months until the end of 2031.
The agreement phases in pay increases so that by July 2031 salaries reach the level of the public-sector collective agreement (TVöD). Weekly working time drops to 38.5 hours. The annual special payment is retained, and shift and rotating-shift allowances rise to €80 and €200 respectively from 2029. Union members will vote on the deal until 3 July.
Yet the hospital group issued a stark warning: it has reached its financial limit. Vivantes already carries an annual structural deficit of over €120 million, and new legal provisions to stabilise health insurance contributions threaten to add another €70 million in losses.
While unions view any loosening of daily maximum hours with scepticism, opposition parties are calling for the reform to be extended to the entire economy—not just collectively bargained workplaces. The legislative process is only beginning: the draft now moves to inter-ministerial coordination, then cabinet approval and parliamentary debate.
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