Germany is enacting strict new policies to combat the mass abuse of sick leave, a significant departure from its previous leniency. Employees will now require a doctor's note on the very first day of absence. This reform package also addresses retirement ages, tax rates, regulations, welfare benefits, and hiring/firing flexibility. Chancellor Friedrich Merz stated that high sick day numbers create a competitive disadvantage and are hindering economic recovery. The German economy has struggled post-pandemic and due to international conflicts. Previously, a doctor's note was not needed until the third day, and sick leave could last up to six weeks per illness. Germans have been taking nearly three weeks of sick leave annually, double the rate in the US. Trade unions criticize the changes, fearing a creation of distrust towards employees. Medical professionals warn that the new rules will overburden doctors and impact efficiency. The reforms are the result of negotiations between the ruling coalition parties. Other changes include a gradual increase in the retirement age to 67 and welfare reforms to incentivize re-employment. The package also features tax relief for lower and middle-income earners, funded by a tax increase on high earners. Deregulation measures and extended Sunday opening hours for bakeries are also included.