Retail Employee Salary Increase: Is the Industry Stable?

Retail Employee Salary Increase: Is the Industry Stable?

In the coming year, employees in retail can look forward to a salary increase of 3.3 percent. In addition, an additional increase of 0.5 percent above rolling inflation is targeted for 2026, like that Volksblatt reported. However, it should be noted that this increase could decrease in 2026 if inflation rises above 3 percent. For apprentices, the salary increases to 1,000 euros in the first year of training, which was agreed after extensive negotiations over five rounds of talks.

Employment structure in retail

The current situation in retail shows that as of December 31, 2023, over 3.15 million people were employed in this industry Federal Employment Agency stated. Although overall debt remains stable, traders are struggling with declining propensity to consume caused by global crises and record inflation. Compared to the previous year, total employment fell by around 17,000 jobs, which corresponds to a decline of 0.5 percent. This development means that 37,008 jobs subject to social insurance contributions have been lost. What stands out positively, however, is the increase in mini-jobs, which have grown by 2.5 percent and represent important support for the industry.

The challenge remains the shortage of labor and skilled workers: in 2023, trading companies were unable to find suitable personnel for around 120,000 open positions. This hampers economic growth and requires decisive measures, including better work-life balance and legal reforms to attract skilled workers. In addition, the proportion of part-time employment is high, which meets the needs of many employees, so that 62 percent of all employees work part-time, part-time or regularly employed. These developments make it clear that despite the challenges, the industry can record some successes, particularly with regard to the higher number of mini-jobs and the increase in employment compared to pre-crisis levels.