Germany's Minimum Wage Ranks Fourth in EU for 2026 as Real Wages Rise in 2025

Germany has secured the fourth-highest minimum wage in the European Union for 2026, with a rate set at €13.90 per hour. Luxembourg leads the EU with the highest minimum wage of €15.25, followed by the Netherlands at €14.71 and Ireland at €14.15. Germany surpasses Belgium and France, which offer minimum wages of €13.08 and €12.02 respectively.

Alongside this, German workers experienced an increase in real wages during 2025. According to statistics, nominal gross wages rose by 4.2 percent, while consumer prices increased by 2.2 percent. This disparity resulted in a 1.9 percent growth in real purchasing power for employees throughout the year. Though positive, this growth was less pronounced than the previous year's 2.9 percent rise in real wages.

These developments reveal a dual progression in Germany’s wage landscape: a competitive minimum wage within the EU and a continued, albeit moderated, expansion of workers’ real incomes. The increase in real wages, despite inflation, underscores improving economic conditions for employees in 2025, while the minimum wage position highlights Germany’s efforts to maintain its wage competitiveness across Europe.