EU Blue Card Minimum Salary to Increase

The situation

Effective January 1, 2019, the minimum annual salary for non-European Economic Area nationals applying for work authorization under the EU Blue Card program in Germany will increase to EUR 53,600 per year, or to EUR 41,808 per year if the applicant will work in a shortage occupation.

A closer look

• Initial and renewal applications. Employers of foreign nationals seeking to obtain or renew an EU Blue Card on or after January 1, 2019 must increase the foreign national’s minimum salary to comply with the new rule.
• Pending applications. Employers of foreign nationals with pending EU Blue Card applications whose start date is in 2018 are subject to the current minimum salary and are not affected by the new rule. Employers of foreign nationals with pending EU Blue Card applications as of January 1, 2019 whose start date is January 1, 2019 or later must increase the foreign national’s minimum salary to comply with the new rule.
• EU Blue Card applications that do not meet the minimum salary will be rejected.

Reminders on other requirements

• Market salary rate. As before, salaries must also meet the market salary rate for the proposed position.
• Currency. As before, employers are required to guarantee the salary in EUR regardless of payroll location and/or exchange rate fluctuations.

Background

The German EU Blue Card allows eligible foreign nationals to live and work in Germany and to travel within the Schengen area based on Schengen travel rules. The EU Blue Card provides benefits such as facilitated family reunion options for dependents and a streamlined permanent residency path.

This year’s increase is typical of Germany’s increase for this permit type on an annual basis and does not represent a significant increase when compared to other countries’ increases in minimum salary levels for foreign workers worldwide.

Looking ahead

Fragomen expects the minimum salary level for the EU Blue Card to  increase again in 2020.

This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to frankfurtinfo@fragomen.com.