At the Industry Day, Merz received warm applause from the business community for his announcement for the first time in months. He praised the commission’s proposals as a “total work of art” — as did Labor Minister Bärbel Bas (SPD). The chancellor particularly touted the planned capital pension, which is set to bring an additional 30 billion euros into the financial markets each year.
In Erhard style, Merz announced that work must now focus on “prosperity for the youth.” By this he means: the major pension reform must be followed by further reforms. However, the success of the first reform is already uncertain. The German Trade Union Federation (DGB) rejects the mixing of statutory pensions and capital funding, as well as the end of the pension at 63. The DGB plans to present its own concept over the weekend.
Yesterday, Manuela Schwesig already opened the ranks of the naysayers. She signaled resistance to key points of the reform. The government now faces a difficult search for a parliamentary majority.
Source: www.handelsblatt.com
