German Farmers’ Leader Warns of Consequences of Minimum Wage Hike
The head of the German Farmers’ Association, Joachim Rukwied, has expressed concerns ahead of the upcoming deliberations of the minimum wage commission. He warned that a hike in the minimum wage without exceptions for seasonal workers could lead to a restructuring and exit program for many fruit, vegetable and wine producers.
German farmers, Rukwied emphasized, are already at a disadvantage in the European market, with their competitors having significantly lower costs. Seasonal workers, he noted, do not have their place of residence in Germany and would therefore not be directly affected by a higher minimum wage. The farmers’ leader suggested that they receive 80 percent of the statutory minimum wage instead.
Furthermore, Rukwied called on the government to respect the principle of tariff autonomy, allowing the social partners to negotiate freely and independently of political pressures. This system, he argued, has worked well over the years and it should not be abandoned.