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Merkel backs equal pay transparency law

As Germany celebrates Equal Pay Day on March 20th with demonstrations planned in Berlin, Minister for Family Affairs, Senior Citizens, Women and Youth Manuela Schwesig said on Friday that her proposed wage transparency law has the support of Chancellor Angela Merkel.

Merkel backs equal pay transparency law
Manuela Schwesig and Angela Merkel in the Bundestag (German parliament). Photo: DPA

Schwesig's planned law would allow women to check their salary against those of men doing comparable work.

Employers reacted angrily to the plans in early March, saying that it would create a climate of mistrust among workers, but Merkel's support, which Schwesig confirmed she had in an interview on ZDF television, will likely ease its path through parliament.

The proposals were first mentioned in the coalition agreement signed in late 2013 between Merkel's Christian Democratic Union (CDU) and the Social Democratic Party (SPD).

Schwesig has said that she wants to put the law to a vote in the Bundestag (German parliament) this year. MPs are slated to debate the subject later on Friday.

Volker Kauder, parliamentary leader of the CDU for Bavaria, also declared his support for the proposals and called for employers to "look at their wage contracts closely in order to see if male and female employees are being paid fairly."

Although men and women should be paid the same wage by law, the average woman earns €5 less an hour than the average man, according to 2014 statistics.

This wage gap equates to 22 per cent, one of the highest in the EU.

While women often work part-time or lower-paid jobs, the pay gap between men and women with similar skills and qualifications is still 7 per cent on average, according to Family Ministry figures.

Average pay gap in different German states in %. Photo: DPA

(Average pay gap between men and women in different German states and across Europe, in %)

Schwesig has pushed hard for the rights of women in the workplace, making herself the driving force behind a law requiring set numbers of women on the boards of large companies and in the civil service passed in early March.

Some good news for the SPD and women alike is that experts believe that the new national minimum wage of €8.50 an hour – one of the left-wing party's key demands for working with Merkel and the CDU – is having a positive effect on the pay gap.

"Women will benefit from the minimum wage because the majority of workers originally paid under €8.50 an hour are women", said Christina Klenner from the Institute of Economic and Social Research.

by Matty Edwards

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WORKING IN GERMANY

Which Bavaria-based companies regularly hire English speakers?

Bavaria is no doubt a beautiful state with a strong economy, but can be a hard place for non-German speakers to integrate. The Local takes a look at job opportunities in Germany’s southeastern 'Free State.'

Which Bavaria-based companies regularly hire English speakers?

Munich ranks third in German cities with the highest total GDP, behind Berlin and Hamburg, but in terms of GDP per capita, it’s higher than both of them.

It also consistently ranks high, often highest, in terms of average household income.

As of 2023, nine of the 40 companies listed on DAX, Germany’s stock index, were based in Bavaria. Seven of those are based specifically in Munich.

While Frankfurt is commonly known to be Germany’s business capital, Munich can claim the title of Germany’s insurance capital, which is saying something, as Germany is home to some of the largest insurance firms in the world, like Allianz.

Beyond the state’s capital city, a number of international companies are based elsewhere in Bavaria, particularly in the Franken region, near Nuremberg.

Which companies actively hire English speakers?

Bavaria, and Munich in particular, is home to a number of companies at the forefront of international business. But the state is known for its traditional, sometimes conservative, culture, which affects its business culture as well.

Whereas companies embracing English as their primary business language are easy to find in Berlin, the practice is less common in the south. That said, there are some notable exceptions. 

Sportswear giants, Adidas and Puma, both have their headquarters near Nuremberg in Herzogenaurach, and regularly recruit English speaking international talent.

“As an international company, our teams reflect the rich diversity of our consumers and communities,” Jon Greenhalgh, Senior Manager Media Relations for Adidas told The Local. “Fostering a culture of inclusion where we value and leverage differences, ensures that we can authentically engage with our employees and truly connect with our consumers.”

He added that around 40 per cent of Adidas’ Germany-based employees are foreign nationals, from over 100 different countries.

Siemens and BMW rank among Bavaria’s top employers, and are also known to hire their fair share of foreigners.

“In Germany, we recently had around 2,000 open positions,” Konstanze Somborn told The Local on behalf of Siemens AG.

He added that Siemens operates in 190 countries. “That is why we value international teams very much…English as a common language is very usual.”

READ ALSO: ‘Which German companies want to hire foreigners?’

Similarly, BMW hires workers from a variety of backgrounds. 

“Every year, we hire lots of internationals and welcome them to the BMW Group,” Dr. Hans-Peter Ketterl, a press spokesman for BMW Group told The Local. 

But not all of these positions are available to non-German speakers.

Ketterl added that BMW’s working language is German in the country, even though, “English is an indispensable entry requirement as the second corporate language in many areas of the company.”

Check job boards and follow best practices

If it’s your first time applying for jobs in Germany, make sure to change your resume to the German format, even for English positions.

While Germany is home to its own job boards, like Xing, LinkedIn is probably the best place to start. In addition to searching for positions based in your preferred location, you can check relevant groups, like Munich Startups, to broaden your horizons.

The English Jobs in Germany website is also a good resource to start with. 

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