Söder guarantees the continued existence of minijobs and warns against abolition

The reaction from the business community followed promptly. A broad alliance of industry associations – including the Handelsverband Deutschland (HDE), the German Hotel and Restaurant Association (DEHOGA), and the umbrella association of agricultural and forestry employers' associations – had previously warned in an urgent letter to Federal Labor Minister Bärbel Bas (SPD) and Federal Health Minister Nina Warken (CDU) against a de facto abolition or significant increase in the cost of minijobs as part of the planned social and pension reforms.

Business associations write urgent letter

The signatories argue that minijobs have been considered a bridge into regular employment since 2003 and play an indispensable role in many businesses. They fear that an abolition or heavy burden would result in considerable competitive disadvantages for the affected sectors.

At the same time, criticism of the minijob model is growing from another direction. Michaela Engelmeier, chairwoman of the Sozialverband Deutschland (SoVD), expressly welcomed the commission's plans. „Denn dadurch, dass Minijobs künftig voll rentenversicherungspflichtig sein sollen, wird ein ganz wichtiger Baustein zur Bekämpfung von Altersarmut auf den Weg gebracht“, she said. Engelmeier also pointed out that women are particularly disadvantaged because, due to a lack of childcare options, they can often only work part-time or in minijobs.

SoVD sees minijobs as a problem

Engelmeier described Söder's initiative as backward-looking and at the same time called for investments in expanding the childcare infrastructure for nurseries, kindergartens, and primary schools. In doing so, she linked the pension debate with a broader labor market policy discussion.

Söder also named what he considers the central pension reforms: the abolition of the „Rente mit 63" and the introduction of a capital-funded private pension. „Die großen Reformen bei der Rente seien andere: die Abschaffung der Rente mit 63 und der Einstieg in eine kapitalgedeckte Altersvorsorge“, he said. In doing so, he attempted to frame the minijob dispute as a sideshow of the reform.

Söder's line: abolish the Rente mit 63

Federal Labor Minister Bärbel Bas warned meanwhile against talking down the overall concept. She pointed out that all building blocks of the reform are interconnected and that isolating individual points could jeopardize the overall architecture.

Scientists and politicians have long viewed the minijob model more critically than in the past. Studies point out that many employees remain in minijobs permanently and therefore build up only low pension entitlements. This criticism forms the basis for the commission's proposal to include minijobs in the regular pension insurance obligation.

The economic significance of minijobs is considerable. According to the associations, they cover a large part of the flexible labor capacity in gastronomy, retail, and agriculture. A discontinuation or a significant increase in costs could, in the signatories' assessment, lead to staff shortages and rising costs.

Criticism from academia and politics

The controversy comes at a phase in which the black-red coalition is already under pressure to consolidate its pension policy plans. The commission had submitted its recommendations as a basis for the upcoming reforms; the coalition had pledged to implement them as closely as possible.

With his initiative, Söder shifts the debate. By granting minijobs a kind of guarantee of their continued existence, he sets himself against parts of his own coalition line and against the commission's recommendation. At the same time, he sends the business associations a political signal that strengthens their position.

The coming weeks will show whether the coalition sticks to its reform plans or whether pressure from the business community and from parts of the Union leads to adjustments. What is clear is that the minijob issue has become a central point of contention in the pension reform.

Open question for the coalition

The dpa report, which picks up the debate from Munich, makes clear that the discussion has long since moved beyond specialist circles into the broader political public. The next steps by the Federal Ministry of Labor, the coalition factions, and the commission will show in which direction the reform is moving.

What is certain: the minijobs, popularly known since 2003 as „geringfügige Beschäftigung", are at the center of a fundamental debate about old-age poverty, sectoral structures, and the future of flexible work in Germany.