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Germany Today

German news in English

Thursday, October 17, 2024

Germany's Controversial Tax Plan for Foreign Workers

Published: 2024-07-11

The German government's proposal to offer tax breaks to foreign skilled workers has sparked a heated debate.

The plan, part of a growth initiative aimed at boosting the economy, would allow newly immigrated professionals to enjoy tax-free portions of their gross salary for the first three years.

While supporters argue it's necessary to attract talent and address the country's labor shortage, critics, including some within the ruling coalition, view it as unfair to German workers.

The CSU's General Secretary, Martin Huber, called it 'unacceptable discrimination against the local population.

' Labor Minister Hubertus Heil expressed reservations, suggesting it could lead to misunderstandings.

The proposal reflects similar practices in other European countries but faces opposition from unions and employer associations alike.