Approximately 20% of workers see a pay boost due to the enhancement of minimum wage - Increase in average wages in the Community is approximately one out of every five positions
**Subtitle:** A closer look at the effects on employment, income, and gender in Thuringia
The upcoming minimum wage increase in Germany, set to rise from the current 13.90 Euro to 14.60 Euro per hour in January 2027, is expected to have a significant impact on the employment landscape, particularly in the Free State.
Approximately 207,000 employees in the Free State will be affected by this proposed increase, which is a larger proportion than the current proposed national average of 17% and the eastern Germany average of 20%. Among these affected workers, around one in four jobs will be impacted.
In terms of gender distribution, women in Thuringia are reported to benefit slightly more frequently than men from the minimum wage increase. According to the German Trade Union Confederation, around 220,000 people in the Free State currently earn below the 15-euro minimum wage threshold.
While the data for Thuringia is limited, there is relevant information on pension income, which indirectly reflects long-term labor market earnings, especially for women. Thuringia has the lowest average pension in Germany (€1,491/month), indicating overall income levels, including those shaped by minimum wage jobs earlier in life, are lower in Thuringia compared to other states.
The proposed minimum wage increase in the Free State is anticipated to boost the income of those affected by around 12 million euros. However, it's essential to note that the current data does not provide a clear picture of how the minimum wage specifically affects employment or income for women in Thuringia.
The recent pension increase, which affected all retirees, may push some into taxable income. As of July 2025, statutory pensions increased by 3.74%, raising the average monthly pension by about €66. This increase, however, does not specifically address the root causes of the gender income gap in Thuringia or Germany as a whole.
In conclusion, the proposed minimum wage increase in the Free State will have a more widespread impact on employment compared to the current increase to 13.90 Euro. However, a more detailed, gender- and region-specific analysis is needed to fully understand the impacts on women's employment and income in Thuringia.
- To address the employment and income challenges faced by the community in Thuringia, considering the upcoming minimum wage increase, implementing vocational training programs could help prepare workers for better-paying jobs in various industries.
- While the proposed minimum wage increase in Thuringia aims to boost income levels, collaboration with financial institutions could offer business incentives for vocational training centers, ensuring a financially sustainable approach in investing in the workforce's future skills.