German Businesses Express Mixed Reactions to New Partial Sick Leave Law Effective 2028

Starting January 1, 2028, German employees will have the option to work partially during illness under a new legislation known as "Teilarbeitsunfähigkeit" (partial sick leave), introduced as part of the contribution rate stabilization law for statutory health insurance. This law, approved by the Bundesrat on July 10, 2026, allows doctors to certify employees as capable of working 25%, 50%, or 75% of their usual hours depending on their health condition, subject to employer consent.

A survey by the ifo Institute and Randstad highlights a mixed and largely skeptical response from German businesses. Nearly half of companies view the partial sick leave regulation as impractical or unhelpful, with medium-sized firms particularly doubtful—52% labeling the measure as ineffective. While 12% of companies believe partial sick leave will contribute to more flexible staffing, a majority remain unconvinced about tangible benefits such as reduced absenteeism or quicker recovery.

The sectorial applicability of the law appears to vary: 55% of companies see it as feasible in administrative roles, but only 11% and 8% consider it suitable for logistics and production work respectively. A major point of concern revolves around the difficulty in distinguishing which employees are genuinely capable of partial work and which are not, potentially complicating workplace management and productivity.

Employers express caution about the law's practical impact. Some concerns include potential challenges to workplace dynamics and uncertainties as to whether the regulation will yield significant advantages for companies. The general sentiment suggests that while partial sick leave might theoretically help reduce full absenteeism, many companies are yet to be convinced about its effectiveness.

Looking ahead, the implementation of this policy will require careful navigation by employers to balance operational needs with employee health considerations. The responses from businesses indicate a cautious and critical stance as the law approaches enforcement in 2028.