The current paper discusses the evolution of earnings inequality in Germany with an eye to its potential lessons for China. Inequality is assessed from two different perspectives: the distribution of annual earnings, and the distribution of lifetime earnings. This paper proposes to implement closer monitoring of lifetime earnings and take a proactive stance in the formation of the wage-bargaining regime. The current paper discusses the evolution of earnings inequality in Germany with an eye to its potential lessons for China. Inequality is assessed from two different perspectives: the distribution of annual earnings, and the distribution of lifetime earnings. This paper proposes to implement closer monitoring of lifetime earnings and take a proactive stance in the formation of the wage-bargaining regime.