Germany’s Labor Reform Package Draws Fire as Remote Sick Notes Are Scrapped and Contracts Lengthened
04.07.2026 - 01:33:03 | boerse-global.de
Germany’s governing coalition struck a hard-fought deal on 2 July that overhauls key workplace rules — ending the popular option of a telephone-based sick note, requiring a medical certificate from the first day of illness, and extending the maximum duration of fixed-term contracts without a cause from two to four years. The package, agreed by Union and SPD leaders at the coalition committee, has been met with fierce opposition from doctors’ associations and health insurers, who question both its legal basis and its likely impact on already strained practices.
Doctors and Insurers Question the Evidence
The medical establishment was quick to push back. The National Association of Statutory Health Insurance Physicians (KBV) called the move a bureaucratic step backwards, estimating that it could trigger more than 100,000 additional patient contacts per day in family doctor surgeries that are already under heavy pressure. The German Association of General Practitioners echoed the warning, saying the new rules risk overloading primary care.
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Insurers are also unconvinced. DAK CEO Storm argued that requiring an in-person visit from day one will not necessarily lower the sickness rate. Data from the Central Institute for Statutory Health Insurance Care (Zi) lends weight to that scepticism: between 2020 and 2023, telephone sick notes accounted for only 0.8 to 1.2 percent of all medical certificates for incapacity to work. The Institute for Employment Research (IAB) added that there is no empirical evidence linking telephone-based certification to rising sick-leave rates.
High Sickness Absence Drives the Decision
Chancellor Merz defended the tightening by pointing to Germany’s elevated absenteeism. According to the Federal Statistical Office, the average employee took 14.8 sick days in 2024. The DAK’s own figures for 2025 climbed even higher, to 19.5 calendar days. Merz described the current level as a competitive disadvantage for the economy.
Under the previous rules, workers only needed a doctor’s note from the fourth day of illness, unless their contract specified otherwise. That threshold is now dropped. Health Minister Warken said patients with mild conditions can still use digital video consultations as an alternative, but the option of a purely telephone-based sick leave — permanently introduced at the end of 2023 — will be abolished.
Coalition Partners Backpedal on Implementation
Just one day after the announcement, senior coalition figures began to walk back the most rigid interpretation of the new requirement. SPD leader Klingbeil stressed that the aim is a workable solution. Government spokesperson Kornelius and Chancellor Merz clarified that, while an attestation is mandatory from the first day, it does not have to be obtained through a face-to-face visit on that exact day. The precise legal wording has yet to be drafted.
Within the SPD, Labour Minister Bas and health expert Pantazis are demanding that the tightening be based on scientific evidence. They note that the changes were pushed primarily by the Union. SPD General Secretary Klüssendorf described the compromise as the lesser of two evils, pointing out that it prevented the introduction of unpaid waiting days.
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Broader Changes for Fixed-Term Contracts and Dismissal Protection
The sick-note rules form part of a larger labour-market package agreed on 2 July. Other components include:
Fixed-term contracts: The maximum duration for contracts without a material reason rises from two to four years. Up to six renewals become possible, and the written-form requirement for fixed-term agreements is dropped.
Dismissal protection: High earners could see revisions, including higher severance arrangements.
Partial sick leave: The Health Ministry plans a phased return to work in steps of 25, 50 and 75 per cent capacity.
Penalties: Stricter punishments are planned for employees who submit fraudulent sick notes.
Crucially, individual companies and collective-bargaining partners will still be able to deviate from the general requirement of a day-one medical certificate. Legal experts point out that existing employment contracts fall under the principle of favourable treatment, meaning the immediate application of the new rules remains subject to clarification in many cases.
