German government rolls out new bureaucracy relief package as workplace rules are set for overhaul
Published on 07/17/2026 at 07:24 | Redaktion boerse-global.de
The German government has approved a second relief package, adding ten specific anti-bureaucracy measures and lifting the annual burden on business by around 600 million Euro.
The new package pushes the total value of relief promised since November 2025 to 10,4 billion Euro a year. By the end of the year, about 30 further measures are planned, including the abolition of the Bonpflicht and a new law on Gebäudetyp E.
One of the biggest savings comes from the planned digitalisation of the health care system through the law on digitalisation in the health care system (GeDIG). Doctors’ letters, referrals and findings are to be sent digitally in future, while hospitals will also be allowed to use cloud services.
According to the government, those changes alone will ease the burden on the economy by about 445 million Euro a year. Another 720 million Euro is expected from fewer inspection requirements for electrical equipment. Such inspections will only be compulsory in future where there is a concrete risk. In small and medium-sized companies, that could eliminate up to 123.000 safety officers.
The package also includes changes in transport. Truck driving bans will in future apply only on nationwide public holidays. Regional public holidays will no longer count as restrictions. Electric cars will also no longer need the green environmental sticker.
Chancellor Merz used his summer press conference to set out plans for a reform of the Arbeitszeitgesetz. Labour Minister Bas is due to present a draft bill in autumn 2026.
The aim is to shift away from a daily maximum working time and towards a weekly maximum. That should especially benefit companies without collective bargaining coverage.
A first draft from June had limited the flexibilisation to businesses bound by collective agreements. That drew criticism inside the coalition and from business groups such as the Dehoga. Merz said the forthcoming draft must also include opening clauses for companies that are not covered by collective agreements.
Business representatives have long called for this kind of flexibility. Trade unions, however, continue to reject any extension of the working day beyond the current eight-hour limit.
The government is also preparing mandatory electronic recording of working time. Employers will have to document the start, end and duration of work digitally.
Small businesses with up to ten employees will be exempt from the form of recording. The transition periods will be staggered by company size: one year for large companies, two years for firms with fewer than 250 employees and five years for companies with fewer than 50 employees. The reference period for the maximum working time is also to be cut from six to four months.
With the planned “Job-to-Job-Erprobung”, employees will be able to test a new employer for up to four weeks, and in exceptional cases for up to six weeks, without having to end their existing employment relationship.
For unemployed people, contact with the Jobcenter will be digitised. Agreements will in future be possible by email, and appointments by video call. The obligation to remain reachable by post will be relaxed.
In vocational training, the maximum funding amount under the Aufstiegsfortbildungsförderungsgesetz (AFBG) will rise to 18.000 Euro. And in payments, electronic bank transfer is set to become the standard step by step by September 2029.
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