Against warnings from business associations the parties agreed on additional
restrictions on fixed-term contracts. While the CDU/CSU has rejected the SPD’s
demand to abolish the rule that (new) employment contracts can be limited to up
to two years without a material reason, the three parties agreed on bureaucratic
measures aiming at reducing the number of such contracts.
Especially, the new government will prevent that individual employees will have to accept a longer
series of temp contracts.
The prospective law on the immigration of qualified labour seems to be a
sensible project. But the draft treaty does not specify the new rules that shall be
oriented on the German economy’s demand, instead it solely stipulates that the
law will consistently and transparently combine the rules already existing and
provide for more efficiency where necessary.
The federal labour agency’s funds for the labour market integration of long-term
unemployed shall be increased by EUR 4 bn in total in the years 2018 to 2021.
This demonstrates that a new Groko’s policy will count on paternalistic
approaches instead of marked-oriented solutions.