Merkel’s Bloc Has Agreed on Minimum Wage Proposal, FAZ Says

Lawmakers from Chancellor Angela Merkel’s Christian Democratic Union and its Christian Social Union Bavarian sister party have agreed on a proposal to introduce a minimum wage in Germany, Frankfurter Allgemeine Zeitung reported.

A commission of employer and labor-union representatives would set minimum wages for sectors of the economy in which pay agreements by employers and unions don’t exist, the newspaper reported, without saying where it got the information.

Exceptions may be made for certain regions or business sectors under the proposal, the newspaper said. Wages agreed by employers and unions that are below the minimum would remain in effect, the newspaper said.

Merkel’s bloc will start negotiations with its Free Democratic Party coalition ally, which rejects a minimum wage, to turn the proposal into law before the 2013 election, FAZ said.