Merz Government Proposes Partial Sick Leave in Major Health Reform – Insured Workers Must Meet Three Conditions
Berlin, April 28, 2026 — The government under Chancellor Friedrich Merz (CDU) is advancing a significant shake-up of Germany’s social health regulations by introducing the concept of "partial sick leave" (Teilkrankschreibung). This new policy aims to replace the long-standing binary approach where employees are either fully fit for work or completely unfit. According to plans spearheaded by Health Minister Nina Warken, the draft bill is expected to pass the federal cabinet this month, potentially affecting millions of workers.
Breaking the "All or Nothing" Sick Leave Model
Under the current system, when employees fall ill, they are entirely exempt from work for the duration of their sickness certificate. The proposed reform allows doctors to certify reduced work capacity—100%, 75%, 50%, or 25%. For example, an employee who normally works 40 hours per week could be authorized to work only 20 hours while still officially “partially sick.” This nuanced approach intends to help employees gradually return to work and reduce the financial strain of sick pay on the system.
Criteria for Partial Sick Leave
The reform primarily targets employees suffering from long-term illnesses, specifically those incapacitated for more than four weeks. To qualify for partial sick leave, three essential conditions must be met:
- The attending physician must determine and document the employee’s limited ability to work.
- The employee must endorse their own capacity to perform partial work.
- The employer must agree to the partial return to work.
If the employer denies consent, the traditional full sick leave remains in effect. The policy envisions scenarios where, for example, employees with severe colds or injuries might work remotely or perform lighter tasks instead of full physical duties. Employers can facilitate this transition by offering flexible hours or home office options.
Financial Implications and Benefits
During the first six weeks of illness, the employer continues to pay full salary as per existing law. After this period, the salary corresponds to the actual hours worked, while health insurance covers the remaining lost income through statutory sick pay. The proposed law suggests that partially sick employees will often be financially better off than those receiving full sick pay. However, it also includes a reduction in statutory sick pay from 70% to 65% of gross wages, a point that has sparked debate.
Rationale Behind the Reform
The initiative follows recommendations by the Government Commission on Healthcare Savings, calling for "graduated work incapacity" to better address health and economic challenges in the workforce. The DAK health insurance fund’s 2025 analysis highlights an average of 19.5 sick days per employee annually, with psychological illnesses showing a notable increase of 6.9%. Consequently, DAK’s CEO Andreas Storm welcomes the debate, considering partial sick leave a promising strategy for improving labor market participation and reducing costs.
Health expert Professor Volker Nürnberg supports the concept, observing that many employees’ health exists on a spectrum rather than in a simple healthy/sick dichotomy. Partial work capacity could allow for gradual reintegration, potentially lowering overall absenteeism. The reform also underscores the social benefits of maintaining employees’ connection to their workplace and easing return-to-work transitions, notably for those with mental health conditions. It further aims to prevent “dequalification” due to extended absences.
Opposition and Concerns
Not all voices endorse the reform. The German Trade Union Confederation (DGB) opposes the measure, emphasizing the need for employees to fully recover without pressure to work while ill. DGB board member Anja Piel warns about the risk of economic or hierarchical coercion undermining genuine voluntariness.
Likewise, the Social Association Germany (SoVD) cautions that premature return could exacerbate illnesses and prolong absences, contrary to employer interests. The Government Commission itself acknowledges the risk of employers pressuring sick employees, potentially leading to chronic conditions. Therefore, it highlights the necessity of medical assessments as the primary basis for determining reduced work capacity and insists on employee consent.
Next Steps
Following cabinet approval, the bill will proceed to parliamentary debate and voting. If enacted, this reform could mark a fundamental shift in how Germany handles work incapacity, integrating greater flexibility to benefit workers, employers, and the healthcare system alike.
Sources: dpa, Bild, DAK report, official government statements