Indian workers in Germany earned nearly 29 per cent more than their German counterparts in 2024, according to a study published by German-language business daily Handelsblatt, citing findings from the employer-linked Institute of the German Economy (IW).
The analysis showed that Indian employees recorded a median gross monthly income of €5,393 (around Rs 5.69 lakh), compared with €4,177 (approximately Rs 4.34 lakh) earned by German workers during the same period. By contrast, foreign workers overall earned a median monthly wage of €3,204, the institute said.
Indians top earnings among foreign nationalities
Among major foreign nationalities working full time in Germany, Indian professionals recorded the highest median pay in 2024, the study found. They were followed by Austrian workers (€5,322), US nationals (€5,307) and Irish workers (€5,233).
The median income for German employees, meanwhile, stood at €4,177, underscoring the wage gap highlighted in the analysis.
According to the IW, the higher earnings of Indian workers are closely linked to their strong concentration in technical and academic roles across the German economy.
High concentration in MINT and research roles
The study pointed to a sharp rise in the number of Indian professionals employed in MINT occupations — mathematics, IT, natural sciences and technology, including engineering — which typically command above-average salaries.
Since 2012, the number of Indians working in MINT professions has increased nearly ninefold, reaching more than 32,800. Around one-third of full-time Indian workers aged between 25 and 44 are employed in MINT occupations.
The report also linked higher earnings to a growing pipeline of Indian students choosing Germany for higher education. Many complete their studies, remain in the country and transition into research, innovation and technology-driven roles.
Reflecting this trend, patent applications involving inventors of Indian origin increased twelvefold between 2000 and 2022, the study noted.
Germany’s policy push to attract Indian talent
Since 2012, Germany has stepped up efforts to recruit skilled workers from outside the European Union, with a focus on academic and technical professions. In 2024, the government led by then Chancellor Olaf Scholz introduced several measures aimed at encouraging skilled migration from India.
The institute added that higher wages among Austrian and US workers also reflect their concentration in economically strong urban regions, where pay levels are generally higher.
The analysis covered nationalities with more than 5,000 full-time employees in Germany and was based on data from the Federal Employment Agency.
Labour shortages add urgency
The findings come against the backdrop of Germany’s tightening labour market and a rapidly ageing population. Projections indicate a shortfall of around 7 million skilled workers by 2035.
Currently, about 700,000 vacancies remain unfilled, pushing Germany’s economic growth potential down to about 0.7 per cent, compared with roughly 2 per cent in the 1980s. This could decline further to 0.5 per cent if the skills gap is not addressed, according to Economy Minister Robert Habeck.
Migration will be central to closing this gap, Habeck has said, underscoring the growing role of skilled Indian professionals in sustaining Germany’s long-term economic competitiveness.
