Sat, 06 Jun 2026 Berlin 23:40 DE / UKR / EN

Söder and Schwesig Reject Relief Bonus

The Prime Minister of Mecklenburg-Western Pomerania, Manuela Schwesig, and Bavaria's Prime Minister Markus Söder have rejected the planned relief bonus. Following the veto by the Bundesrat, the likelihood of the federal government's proposal being implemented has decreased significantly.

Söder and Schwesig Reject Relief Bonus
Photo: Tagesschau

Manuela Schwesig (SPD), the Prime Minister of Mecklenburg-Western Pomerania, has once again rejected the proposed relief bonus. Bavaria's Markus Söder (CSU) expressed similar sentiments. Both politicians see little chance that the federal government's initiative can still be implemented, especially after the Bundesrat's veto, which significantly jeopardizes the plans.

Schwesig stated in the ARD program hosted by Caren Miosga: "I advise the federal government to take this off the table and instead make the right big move right away." She advocates for a tax reform that would primarily relieve small and medium incomes up to 3,000 euros. Söder also supports this demand and criticized the costs and distribution of the bonus.

The federal government had originally planned for employers to voluntarily pay their employees up to 1,000 euros tax-free by June 30, 2027. These payments were to be deductible as business expenses, allowing for partial state participation in the relief bonus. However, only four out of 16 federal states voted in favor of the initiative, making implementation significantly more difficult.

The states that voted against the bonus criticized the financial burdens that would arise from the tax losses, which would need to be borne by the states and municipalities by almost two-thirds. There was also considerable criticism from the business sector, as the bonus would ultimately have to be paid by employers.

The federal government is now seeking solutions and alternatives to ensure financial relief for citizens.