Germany’s fixed‑term contract share drops to 6 % in 2025 as coalition moves to double permissible duration
2.2 million workers – 6 % of Germany’s employed 15‑64‑year‑olds – held fixed‑term contracts in 2025, down from 7 % in 2015, while the coalition plans to double the maximum total length to 48 months.
2.2 million workers – 6 % of Germany’s employed population aged 15‑64 – were on fixed‑term contracts in 2025, down from a 7 % share in 2015.
Labour‑market figures
The Statistisches Bundesamt released the latest data on 14 August 2026. The decline is modest – a fall of one percentage point, or –14.3 % year‑on‑year in the share of fixed‑term contracts.
| Year | Share of employed 15‑64 | Workers (million) |
|---|---|---|
| 2015 | 7 % | ≈2.5 |
| 2025 | 6 % | 2.2 |
| Source: Handelsblatt, citing Statistisches Bundesamt | ||
Coalition reform
In early July 2026 the governing coalition agreed to double the maximum total duration of sachgrundlos (reason‑less) fixed‑term contracts to 48 months and to allow up to six extensions. The amendment carries an expiry clause that will see the rules lapse at the end of 2030.
Employer reaction
Steffen Kampeter, head of the BDA (Bundesvereinigung der Deutschen Arbeitgeberverbände), said employers are pressing for rapid implementation, arguing that the hiring brakes must be lifted quickly.
Implications
The reform aims to increase flexibility in a sluggish labour market while limiting the use of long‑term temporary contracts. If the 48‑month ceiling is applied, many firms could extend temporary arrangements without resorting to permanent hires, potentially dampening the modest decline in the fixed‑term share.
Analysts note that the expiry clause creates a policy horizon: firms may adjust staffing strategies before 2030, anticipating a re‑tightening of the rules.
Further details on the amendment are available from the federal government’s website.
