Germany coalition expands fixed‑term contracts, revises info law

On 2 July 2026 the CDU/CSU‑SPD coalition presented its 34‑point "Programm für Aufschwung und Beschäftigung". The labour‑market chapter proposes extending sachgrundlose (unjustified) fixed‑term contracts to a maximum of 48 months, with up to six renewals and the possibility of rehiring the same employee. It also abolishes the pandemic‑era telephone sick‑note, requiring a doctor’s certificate from the first day of illness, and loosens dismissal protection for employees earning above €177 450 a year starting 1 January 2027, allowing employers to terminate without cause in exchange for a severance payment.

A separate measure seeks to overhaul the twenty‑year‑old Informationsfreiheitsgesetz, tightening state control over access to government information. Critics – journalists, media organisations and unions – warn that the change could hinder investigative reporting and increase mistrust of the state. Chancellor Friedrich Merz defended the reform package, asserting that the political centre delivers results and that the measures balance flexibility for businesses with protection of the social state.