Tourism Promotion: Ministry of Economics Wants More Flexible Working Hours by 2025 - Germany overhauls tourism with flexible work hours and AI-driven reforms by 2026
The German government has unveiled a new tourism strategy aimed at boosting competitiveness and modernising the sector. Key measures include tax cuts, AI adoption, and reforms to labour laws. Industry groups have already welcomed the plans as a necessary step forward.
The Federal Ministry for Economic Affairs and Climate Action is pushing for faster implementation of labour law changes. A central proposal replaces the current eight-hour daily work limit with a weekly maximum. This shift, outlined in the coalition agreement between the CDU, CSU, and SPD, is designed to give businesses—especially small and medium-sized ones—greater flexibility. A draft law is expected in the first half of 2026, with full rollout planned for the same year.
The strategy also targets financial incentives to address staff shortages. Tax exemptions for overtime bonuses and one-time payments will encourage part-time workers to take on more hours. These measures aim to stabilise the workforce in hospitality and tourism, sectors hit hard by labour shortages.
To improve Germany's appeal as a destination, the plan includes a reduction in the air passenger tax by July 1, 2026. The aviation sector will also see broader efforts to enhance short-term competitiveness and long-term sustainability. Additionally, the government will invest in modern, efficient, and eco-friendly transport networks to support tourism growth.
Artificial intelligence will play a key role in managing visitor flows. The strategy promotes AI adoption to help small businesses and startups develop smarter tourism solutions. One goal is to ease pressure on overcrowded hotspots by redistributing tourists more evenly across destinations.
Industry responses have been positive. The Federation of German Airlines (BDF) called the plan a vital move for strengthening tourism competitiveness. Meanwhile, the German Hotel and Restaurant Association (Dehoga) praised the weekly working time cap, stating it provides much-needed flexibility for employers and staff.
The reforms will introduce a weekly working time cap, tax breaks for overtime, and AI-driven solutions to balance tourism demand. With implementation set for 2026, the government expects these changes to make Germany's tourism sector more resilient and attractive. Industry groups have signalled strong support for the measures.
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