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Thursday, 23/4/2026 | 10:32 GMT+7

The 82 billion euro burden of Germany's sick leave culture

The German government proposes tightening sick leave regulations to curb welfare abuse and reduce the 82 billion euro annual financial burden.

Germany implements a sick leave policy considered among the most generous globally. Employees are entitled to a maximum of 6 weeks of full pay for each medically certified illness. For the first 5 days, they can take leave with full pay without needing a doctor's visit. If a new illness occurs, this 6-week pay cycle resets.

A key difference between Germany and other European countries is the absence of a waiting period. In the UK and France, employees do not receive pay for the first three days of sick leave. From the fourth day, French workers receive 50% of their basic salary from insurance, while UK workers receive a fixed allowance of approximately 116 pounds per week, which is less than 20% of the average salary.

Even in welfare-renowned countries like Sweden, the first day of sick leave is unpaid to discourage short absences, with compensation dropping to 80% from the second day. In the Netherlands, while businesses pay 70-100% of an ill employee's salary, staff are subject to medical supervision and strict mandatory return-to-work procedures from authorities.

German employees currently benefit from Europe's most lenient sick leave policy. *Illustration: Pexels*

The leniency of Germany's policy has resulted in the highest sick leave rate in Europe. In 2023, the average employee reported nearly 20 days of absence.

Many businesses complain the sick leave system is being abused. They suggest that some younger employees exploit the regulations to take more time off than necessary, creating pressure on production lines and operational costs.

A survey by the Ifo Institute for Economic Research in Munich found that approximately 11% of German businesses experienced reduced labor productivity during the generational shift to younger workers. Research by Ernst & Young also indicates a decline in work engagement among young employees. Only about 30% of Gen Z personnel report needing to exert their full effort for company goals, whereas this figure exceeded 50% in previous generations.

In response to this situation, the Christian Democratic Union (CDU) party has proposed tightening sick leave policies. Employees would face salary deductions from the first day of absence. Conversely, those taking no more than 5 days of sick leave annually would receive a bonus. The policy aims to reduce absences for minor illnesses and encourage employees to come to the office.

German Chancellor Friedrich Merz supports tightening labor discipline. He stated that 14,8 sick days – equivalent to nearly three weeks of non-work annually – is an unnecessary amount that puts businesses in a difficult position.

"Work-life balance and a four-day work week are insufficient to maintain the country's future prosperity. We need to work harder", he said in an early 2026 speech.

In reality, the absence rate partly stems from widespread post-pandemic burnout. Staff reductions in many companies have led middle management to shoulder a greater workload.

Amid increasing pressure from artificial intelligence (AI) and rising layoff waves, some employees opt to use sick days as a means to recover, seek new employment, or avoid stressful work environments.

Ngoc Ngan (According to Fortune)

By VnExpress: https://vnexpress.net/ganh-nang-82-ty-euro-tu-van-hoa-nghi-om-tai-duc-5064890.html
Tags: sick leave work culture sick leave in Germany labor Friedrich Merz workplace burnout Germany leave German workers German labor law

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