Comment by suction

Might be true, but in Germany, the salary you pay to your employee is also about 1% of all the labor cost for him or her. Which is hyperbole, of course, but Germany is one of those countries where the actual net payout is usually significantly less than 50% of the salary the company provides. I'm not criticising it as I think Germany is a good example of a well-working system but net salaries are low for most.