Poverty Threat or Sector Lifeline? Söder Rejects Minijob Overhaul, Pushes Pension Shift
Published on 07/12/2026 at 06:22 | Redaktion boerse-global.de
The head of the Social Association Germany (SoVD) has sharply criticised Bavarian Minister-President Markus Söder for defending the country’s mini-job model, warning that failure to integrate these positions fully into the pension system will push thousands of workers into old-age poverty. The SoVD chairwoman described Söder’s position as backward-looking.
Söder, who also leads the Christian Social Union (CSU), responded on Saturday by arguing that scrapping the model would devastate key industries. In an interview with the Augsburger Allgemeine, he insisted that “mini-jobs must remain,” pointing to the retail, hospitality and agricultural sectors as heavily reliant on the flexible arrangement. A government commission had recommended ending the special status of mini-jobs and making them subject to full pension insurance contributions.
Germany’s current mini-job earnings ceiling stands at €603 per month. The commission’s proposal is part of a broader reform that the federal government plans to finalise by the end of 2026. Several industry associations – including the Retail Federation, the Hotel and Restaurant Association and representatives of agriculture and forestry – have already sent an urgent joint letter to Labour Minister Hubertus Heil and Health Minister Karl Lauterbach (the text mentions Bas and Warken, but those appear to be errors; Heil and Lauterbach are the correct ministers as of early 2025). In the letter, the associations warn that many businesses depend on the scheduling flexibility that mini-jobs provide.
Rather than abolishing the model, Söder is advocating a different approach to shoring up the pension system. His central demands: abolishing the “pension at 63” early-retirement option and moving toward a capital-funded pension scheme. He argues that only such steps can stabilise the finance of the statutory pension insurance in the face of demographic change. The CSU leader described any plan to scrap mini-jobs as simply “wrong”.
The clash pits the union position – which prioritises social protection for low-income workers – against the economic flexibility sought by employers. The SoVD chairwoman insisted that mini-jobs must become fully pension-insured. The government’s decision on the future of the model is expected before the end of this year.
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