A debate is intensifying in Germany regarding the future of "minijobs," which allow individuals to earn up to €603 per month tax and social security-free in 2026. While unions like Verdi and employer associations such as the BDA advocate for their abolition, citing concerns about income and old-age poverty, particularly for women, and distorted labor market incentives, economist Holger Schäfer of the Institute of the German Economy warns of severe consequences. Schäfer highlights that eliminating minijobs could plunge individuals who rely on them as their primary income source, including students and caregivers, into financial distress. He also notes a trend of decreasing primary minijob earners and increasing secondary ones, suggesting a need to analyze who benefits from abolition before implementing reforms.