We need to work harder: Merz's plan reveals a serious mistake – with dire consequences for employees and the economy
Chancellor Friedrich Merz (CDU) has reignited the national debate on working hours by declaring that “work-life balance and a four-day week are not enough” to secure prosperity. He argues that Germany must work more to remain competitive, linking longer hours directly to economic growth.
However, economic data and scientific research challenge this logic. Gross domestic product depends not only on hours worked, but also on productivity per hour and the number of employed people. Germany already shows relatively high labor efficiency. According to the Organisation for Economic Co-operation and Development (OECD), productivity per working hour rose from about 92.4 US dollars in 2022 to around 98.39 US dollars in 2024, placing Germany in the upper middle range among industrialized nations. Countries with much longer working hours often achieve far lower output per hour.
Demographic decline is often used to justify longer working time. The Statistisches Bundesamt (Federal Statistical Office) and the Institut für Arbeitsmarkt- und Berufsforschung (Institute for Employment Research) expect the working-age population to shrink by millions by 2035. To offset this purely through overtime would require an average increase of nearly 200 hours per employee each year. Studies by economist John Pencavel from the Institut zur Zukunft der Arbeit (IZA, Institute for the Study of Labor) show that productivity does not rise endlessly with longer hours, but weakens beyond certain limits, especially in knowledge-based jobs.
Health risks further undermine the argument. Estimates by the World Health Organization (WHO) and the International Labour Organization (ILO) link working weeks above 55 hours to sharply higher risks of stroke and heart disease. DAK-Gesundheit (DAK Health) reports annual sick-leave costs of nearly 77 billion euros, while mental health-related absences rose by more than 14 percent in early 2024. Pushing employees to work longer could therefore reduce overall output through illness, burnout, and early retirement.
Economists also point to Germany’s massive investment backlog as a bigger obstacle to growth. The KfW-Kommunalpanel 2025 (KfW Municipal Panel 2025) estimates municipal investment needs at 215.7 billion euros, including schools, transport infrastructure, and digital networks. Research published in Nature Human Behaviour in 2025 found that four-day workweek trials in 141 organizations improved well-being while maintaining or slightly increasing productivity. Experts conclude that Germany’s core problem is not insufficient working time, but weak investment, slow digitalization, and fragile demand. Relying on longer hours risks higher social costs without securing prosperity.