Negotiated by Lindner: FDP politicians want to reject pension package

Negotiated by Lindner
FDP politicians want to reject pension package

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The pension package, on which the federal government had already essentially agreed, could be reopened. Internal conflicts are now delaying the decision in the cabinet – and resistance is forming within the FDP.

The FDP social politician Jens Teutrine has announced that the pension package will be rejected in the Bundestag. “It must be clear to everyone that such a pension package cannot be passed in the Bundestag,” said the chairman of the young group within the FDP parliamentary group to the “Bild” newspaper. In addition to respect for lifetime achievements in the form of a good pension, there also needs to be respect for contributors. “Less and less net of gross due to exploding pension contributions not only punishes performance and work excessively, but is also not socially fair.”

Teutrine told the newspaper that there could not be a pension package “that leads to exploding contributions despite a historic introduction to capital coverage.” FDP parliamentary group leader Christian Dürr also called on the ministers of the traffic light coalition to save in the “Bild” with a view to the budget discussions. “I expect, particularly with regard to the federal budget, that the ministries will once again critically review their spending wishes.” It is now important to set priorities and carry out reforms.

Lindner blocks due to budget dispute

Yesterday it became known that the traffic light coalition is postponing the decision on its planned pension package. As we learned from government circles, the draft will not be approved by the cabinet today as planned. But it was agreed that this should happen in May, it was said. The coalition leaders of the SPD, Greens and FDP, Chancellor Olaf Scholz, Vice Chancellor and Economics Minister Robert Habeck and Finance Minister Christian Lindner had previously met in the Chancellery. According to insiders, the Treasury Department blocked passage of the pension package this week because of a budget dispute. Lindner accuses the Ministry of Labor and Social Affairs of significantly exceeding the budget targets for 2025.

The pension package negotiated two months ago by Labor Minister Hubertus Heil and Lindner is intended to guarantee a pension level of 48 percent by 2039. This costs additional money, so the contribution rate will increase. This increase is to be slowed down by a debt-financed investment worth billions on the capital market. From the mid-2030s onwards, annual subsidies will be paid to the pension insurance from the income. The FDP clearly criticized the plans at its party conference at the end of April and called for further reforms. The package “does not currently meet the requirements for intergenerational equity and long-term financial viability,” the resolution states. The contributions would also have to be stabilized.

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