Wage Gap Between German and Foreign Workers in Germany Remains at 23.6% in 2025
Median monthly earnings for German full-time employees surpass foreign workers by nearly a quarter, reflecting persistent labor market disparities.
In 2025, the wage disparity between German and foreign full-time employees in Germany remained significant, with a median monthly salary gap of 23.6%, according to data released by the Federal Ministry of Labour and Social Affairs (BMAS). The ministry reported that the median monthly gross salary for Germans reached €4,396, while foreign workers earned €3,358.
Persistent Wage Inequality and Its Economic Implications
This wage gap closely aligns with figures observed since 2020, which ranged between 23.1% and 25.5%, highlighting a persistent structural issue in the German labor market. Notably, median earnings increased for both groups over the period, yet the relative disparity remains unchanged.
Furthermore, the data reveal that in 2025, 30.6% of foreign full-time employees were engaged in low-paid jobs, compared to only 12.3% of their German counterparts. This imbalance underscores the challenges of integration and upward mobility faced by immigrant workers.
"The wage gap between immigrants and native Germans largely stems from immigrants working less frequently in high-paying sectors or holding senior positions," according to research from the Institute for Employment Research (IAB).
The Federal Employment Agency emphasizes that earnings depend heavily on education, qualifications, and professional experience. In 2025, employees without professional qualifications earned a median salary of €3,133, while those with recognized vocational qualifications earned €4,069. University graduates command the highest median salaries, at €6,146.
For policymakers and senior economic decision-makers, these persistent disparities suggest that structural reforms and targeted educational policies are crucial to enhance skill acquisition and labor market integration for foreign workers. Improving qualification recognition and access to higher-level positions could mitigate wage inequality and bolster Germany’s long-term economic competitiveness amid demographic shifts and evolving labor demands.
Addressing these wage disparities is not only a social imperative but also an economic one, as maximizing the productive potential of immigrant labor can strengthen the German economy's resilience and innovation capacity in a globally competitive environment.
