individual salary negotiations

The principle of equal pay for equal work has been a keystone in German as well as European law for many years, and it is no secret that the reality in Germany, in particular with regards to the pay gap between men and women, is very different.

The Federal Statistical Office (Statistisches Bundesamt) has been tracking the difference in pay between women and men in Germany since 2006. For 2023, they report that the average gross hourly earnings of women (EUR 20.84) were EUR 4.46 lower than those of men (EUR 25.30), resulting in an average of 18% less earnings per hour (which is the so called “unadjusted gender pay gap”). The so called “adjusted pay gap” takes into account that women work more often than men in sectors, occupations and at job levels where pay is lower or often has more part-time roles. According to the adjusted pay gap, female employees earned on average 6% less per hour than men in 2022, even with comparable jobs, qualifications and employment histories. Over the entire observation period from 2006 to 2022, women earned significantly less per hour worked on average than men. Over the past 16 years, the gender pay gap has narrowed down from 23% in 2006 to 18% in 2022 (unadjusted).Continue Reading Equal pay – the end of individual salary negotiations in Germany?