Germany’s Grand Coalition and the Future of Data Protection Oversight

In the recently published coalition agreement of the CDU, CSU, and SPD, the future coalition partners reaffirm their intention to abolish mandatory works council appointments as early as 2025. This initiative, part of a national “Immediate Programme for the Reduction of Bureaucracy,” primarily targets small and medium-sized enterprises. Notably, this policy shift could also impact the requirement for companies to appoint a data protection officer.

German Regulation on Data Protection Officers

Under Section 38 of the Federal Data Protection Act (BDSG), organizations must appoint a data protection officer if more than 20 employees are permanently engaged in processing personal data. This requirement is unique within the EU and extends beyond the obligations outlined in the General Data Protection Regulation (GDPR). Since it is a national regulation, the German legislature holds the power to amend or abolish it.

If the Grand Coalition overturns § 38 BDSG, the vast majority of German companies will no longer be required to designate a data protection officer.

Data Protection Obligations Will Remain

Even if § 38 BDSG is repealed, companies’ broader data protection responsibilities will persist. The GDPR remains firmly in place and continues to apply.

Organizations must still comply with mandatory transparency requirements, data subject rights, procedural documentation, reporting obligations, and agreements on data processing. These regulations will not be eliminated, even for companies that are no longer required to appoint a data protection officer.

The Grand Coalition aims to address these broader obligations, but given the European dimension of the GDPR, significant changes will likely take longer—certainly beyond Christmas 2025.

We will continue to monitor developments and provide updates as new information becomes available.

By MELCHERS, Germany, a Transatlantic Law International Affiliated Firm.

For further information or for any assistance please contact germany@transatlanticlaw.com

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