Mini-Jobs Under Threat: Hospitality Group Vows Resistance to Pension Reform Cuts
Economy / Finance

Mini-Jobs Under Threat: Hospitality Group Vows Resistance to Pension Reform Cuts

The German Hotel and Restaurant Association (Dehoga) is opposing the planned elimination of minijobs. According to reports published by the Funke Mediengruppe newspapers, the proposal stems from recommendations put forth by the Pension Commission concerning potential reforms to the retirement system, which among other measures includes the abolition of short-term, low-wage jobs.

Jana Schimke, the Chief Executive of Dehoga, stated to the Funke publications, “We will fight with all our might to preserve minijobs.” She emphasized that half of all employees in the industry-a total of 1.1 million people-work on a minijob basis, roles that are crucial for covering evening shifts, weekends, events, and seasonal peaks. Schimke added that sustaining the offering of the industry would be impossible without these minijob workers.

Schimke also clarified that minijobs are already generally subject to pension insurance. She noted that employers already pay a lump-sum pension contribution of 15 percent, in addition to the 13 percent health insurance contribution. Therefore, according to Dehoga, there is no “provision gap,” as some parties have claimed. The organization charged that it is the responsibility of politicians to make “far-sighted, practical, and viable decisions that promote employment, rather than endangering it.”

The Commission delivered its recommendations to Chancellor Friedrich Merz (CDU) and Labour Minister Bärbel Bas (SPD) on Tuesday. Both leaders announced following the unanimous vote by the Commission that they intend to implement all 33 recommendations.