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IMMIGRATION

‘Germany needs 500,000 new immigrants every year’

Germany is grappling with a ticking demographic time bomb. The Local spoke with FDP politician Christian Dürr who says immigration is the key to the country's future.

'Germany needs 500,000 new immigrants every year'
A skilled worker in Bremen. Photo: DPA

As a society, we are living longer – and that's a good thing. But there is a lot of debate over how to stop Germany's welfare system buckling under the pressure of an ageing population.

The Local spoke with Christian Dürr, deputy chairman of the pro-business Free Democrats' (FDP) parliamentary group, who recently wrote a guest commentary for German daily Die Welt on the country's need for more newcomers.

The Local: How important is immigration to Germany and why?

Christian Dürr: Immigration is essential to Germany‘s future. We are the second-oldest country in the world, and soon will experience a huge retirement wave. Our birth rates are low, so without immigration the country will regress. At the same time, immigration fosters diversity, which in turn makes us a better country and a better society.

READ ALSO: Germany's future depends on immigration and integration

You mentioned the pension system being at breaking point in your commentary for Die Welt. Why do you think this?

Our pension system is pay as you go – the current working generation is paying directly into the pension fund that distributes money to pensioners. The system worked perfectly back in the 1950s, but over the years the balance of working people to pensioners has skewed dramatically toward the latter. Soon, additional subsidies were necessary to guarantee pension payments. Today, that subsidy is more than €100 billion, roughly a third of our federal budget in 2020. This is neither sustainable nor fair to the future generations.

READ ALSO: Should people without children be forced to pay more tax in Germany?

How many new immigrants do you think Germany needs every year?

In the article you mentioned earlier, I wrote that 500,000 immigrants were needed per year. That‘s roughly the amount we need to counter the demographic change. One crucial point, though: we need to make sure that people get direct access to our labour market, and we need to attract skilled labour more ambitiously. Unfortunately, our government has failed to address this issue.

You say the current immigration laws are not working. Why?

Because they‘re way too complicated! When I hear stories of people waiting for a year to have their embassy meetings, when they tell me about the mountain of paperwork they need to comb through, I get the feeling the government is actively trying to make the system as difficult as possible. We need to target skilled workers in a way that Canada does, for instance.

READ ALSO: How Germany is set to make it easier to attract non-EU skilled workers

Christian Dürr, member of the German Bundestag and deputy chairman of the FDP parliamentary group. Photo courtesy of Christian Dürr.

You mentioned that integrated workers in Germany are being deported while criminals are not. Do you have any examples of this? Why do you think this is happening?

A few months ago, a logistics company reached out to me. One of their employees, a Pakistani refugee who had started working in their Headquarters, was about to be deported. He decided to flee Pakistan due to religious persecution and knew he couldn’t go back any time soon. In Germany, he learned the language, worked his way up within the company and made friends in the town he got moved to. After two years the government deported him because his refugee status expired.

The government passed new laws recently to attract foreign skilled vocational workers with German language skills and to make it easier for rejected asylum seekers to evade an ordered deportation. Do you think this will help the situation?

That bill was a huge disappointment to anyone who wants a sensible immigration policy. All it did was tinkering with minor immigration guidelines that increase immigration by 25.000 per year – that‘s five percent of what we need. It completely ignored the way we decide who to deport and failed to address the underlying issues in our immigration system.

READ ALSO: What Germany's new controversial immigration laws mean for foreigners

What kind of immigration laws do you think Germany needs?

Sensible ones! We need to start differentiating between the different reasons for immigration – asylum, refuge, economic immigration. And it has to be transparent, so that people not only in Germany, but everywhere in the world know who gets to move here to stay, and who does not.

What do you think will happen if there is no change?

We‘ll get older as a country, and will fall behind as a society as well as an economy. The longer we don’t address the obvious issues, the stronger the far right will get – if we fail to facilitate legal immigration, illegal immigration will rise. Right-wing parties will get stronger, and we will get weaker as a country and as a European Union.

READ ALSO: Explained: How Germany plans to fight its drastic shortage of care workers

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WORKING IN GERMANY

Five things to know about salaries in Germany

Finding a job is typically a top priority when planning a move to Germany. The country boasts the third largest economy in the world and a continuing need for skilled professionals. 

Five things to know about salaries in Germany

If you are moving to Germany, you might soon start looking for a job in the country. However, like many other aspects of living abroad, there are several cultural differences and specificities when it comes to job hunting in Germany – especially when it comes to salaries.

Here are five things to know about salaries in Germany.

There is a minimum wage in Germany

Germany’s minimum wage of €12.41 per hour, pre-tax came into effect at the start of this year. This amounts to a monthly salary of €2,054 which ranks ninth in the world. The minimum wage will rise again in 2025 to €12.82 per hour before tax deductions.

There have been calls recently to hike the salary up higher to €14 per hour.

READ ALSO: Millions of workers in Germany ‘earning less than €14 per hour’

Find out salary expectations

Germany does not require companies to list salary ranges for listed positions. But that may be changing soon. The EU parliament passed a wage transparency law to require companies to publish annual reports detailing wage and wage discrepancy information. The rules, which are set to go into effect in 2027, are intended to help close the gender pay gap. 

In the meantime, employees can utilise online resources to find industry averages and expectations for different roles:

  • Gehalt.de offers users access to salary information on more than 800 professions
  • Online platform, Kununu provides compensation information and employer reviews to users in the DACH region  
  • Berlin residents can utilise REDSOFA’s salary survey for an overview of salary averages in the country’s capital city

As of April 2023 the average gross monthly salary was €4,323 according to Germany’s Federal Statistical Office.

Two-thirds of full time workers make less than this average monthly salary and one-third of workers earn more than this average monthly salary.

While wages after deductions may be less than similar roles in other countries, it is also important to take into consideration what other benefits come with a salary. Paid holiday leave, pension contributions, long notice periods and annual bonuses can help make up some of that difference. 

READ ALSO: How much do employees in Germany typically earn?

Check your payment schedule

Internationals can usually expect their salary once a month when working in Germany. Many German companies choose to pay employees either on the 1st or 15th of the month. It is also important to note that most employees can expect to receive their first pay check within 30 or 45 days of starting. 

For positions that offer yearly bonuses, these payments are included in a 13th pay check which are subject to income tax.  

A person works on a laptop.

A person works on a laptop. Image by Bartek Zakrzewski from Pixabay

How many hours do you work?

When looking for a job, don’t forget to check how many hours you can expect. Job descriptions will include expectations for time commitments. 

Mini-jobs, as expected from the name, are limited in hours and pay. Employees can expect up to €538 per month. Mini-jobs do not provide social security because they do not require social security contributions. Employees are also not automatically covered by health and nursing care insurance. 

Teilzeit, or part time jobs, are defined as any job where working hours are less than a full time position.

A common misconception is that part-time work requires working 20 hours or less a week. But an employee working five days a week for 30 hours, at a position that is typically 40 hours when full time can also be defined as a part time worker. 

READ ALSO: The rules in Germany around ‘mini’ and ‘midi jobs’

In fact, Germany has a term for workers who work between 28 and 36 hours a week. Vollzeitnahe Teilzeit, or nearly full time part time workers, can be a popular choice for some people, including parents. These positions can give employees more flexibility to balance work and family responsibilities. It is important to note that these workers are paid according to their time worked, so it will still amount to less than full time.

Depending on the work schedule, part time employees can earn the same amount of vacation as their full-time counterparts. That’s because holiday leave is calculated based on days worked, not hours. If a part time worker comes in five days a week, they will be eligible for at least 20 days of holiday. If that same part time worker comes in three days a week, they will be legally entitled to twelve days of vacation, even if they worked the same hours as the other employee. 

In most companies, weekly working hours between 35 and 40 hours are considered full-time employment or Vollzeitbeschäftigung

Watch out for the gross v. net difference

Before you sign the dotted line, it will be important to check how much of your gross salary you’ll be able to keep come pay day. Companies that include salary expectations in descriptions include gross salary (Bruttoeinkommen) – not the net income after taxes and deductions (Nettoeinkommen). The amount deducted will depend on how much you earn, the tax class you’re in and on other factors such as how much you’re paying for healthcare but it is usually around 40 percent. 

Salaried employees can find information on the deductions on their pay slip. Some to expect to see include:

  • Taxes are deducted directly from the gross pay. The amount is based on the tax bracket your salary falls within 
  • A percentage of your gross salary is also deducted for your pension / retirement contributions
  • Church taxes between eight and nine percent of your salary will also be due if you are affiliated with a religion
  • Unemployment insurance amounts to a 2.5 percent deduction from your gross salary. It is important to note that the insurance covers a salary up to €90,600 
  • Health insurance contribution rates are typically split between employers and employees. The rate depends on the provider. In 2024, the TK contribution rate to health insurance is 15.8 percent of the gross income

READ ALSO: What you need to know about your payslip in Germany 

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