In a stark departure from its reputation for employee-coddling, the German government is attacking the mass abuse of sick leave with strict new policies that would require a doctor's note obtained on the very first day an employee is sick, with no ability to simply take a sick day with a mere phone call. The reform package also targets retirement ages, tax rates, regulations, welfare benefits and the ease of hiring and firing. It's expected to pass parliament by year's end.
“The number of sick days is too high,” German chancellor Friedrich Merz told reporters. “We are creating a set of tools that will enable those involved, both employees and companies, to correct this. We know this is a tough decision. But we can no longer afford the competitive disadvantage caused by prolonged absences from work.” Merz said the changes are needed to invigorate Germany's economy, which has faltered after the COVID pandemic and suffered from the West's interventions in the Ukraine war and Iran.
After months of disagreements, Germany’s governing coalition has agreed on sweeping reforms to revive its economy.
— DW Politics (@dw_politics) July 2, 2026
Chancellor Merz hopes changes to the tax code, less bureaucracy, and a more flexible job market will help. But will they be enough to fix Germany? pic.twitter.com/jHqmUJBG4D
Previously, employees in Germany didn't need a doctor's note until their third day of absenc
