Coalition negotiations: Union and SPD agree on pension issue

The CDU, CSU and SPD have agreed on a common pension policy during the coalition negotiations. Andrea Nahles goes to the cost of 34 billions of sums 34;

Coalition negotiations: Union and SPD agree on pension issue

The CDU, CSU and SPD have agreed in coalition negotiations on subject of pensions. For this legislature, "an overall pension policy concept" was agreed, said SPD Bundestag group leader Andrea Nahles. A "double line" is planned: by year 2025, pension level should not fall below 48 percent and contributions to pension insurance will not rise above 20 percent. For period reafter, a pensions Commission should draw up proposals.

The leading negotiators of three parties – Nahles, North Rhine-Westphalia social Minister Karl-Josef Laumann (CDU) and CSU vice-chairman Barbara Stamm – announced result at a joint press conference in Willy Brandt House. The concept has a "whole lot of improvements in life reality of people", said SPD Bundestag group leader. The Working Group worked "very constructively" and "very goal-oriented". With regard to total cost of pension plans, it did not give any concrete information: "I can forecast that what we are doing here for improvements, because it affects millions of people, will also cost billions of sums," Nahles said. "For that, people get something too."

The pension package, which in large part reflects agreements from exploratory paper of Union and SPD, also includes compulsory retirement provision for self-employed persons. A basic pension for low-income earners is intended to ensure that senior citizens with a long working biography in old age receive more than level of social assistance.

The negotiators also agreed on improvements to disability pension and extension of maternal pension for women who have received three or more children before 1992. Tribe estimated additional costs for changes made by ir party in maternity pension to 3.4 billion euros annually. The CSU Vice-Chairman was open to a mixed financing from pension Fund and from tax funds.

According to will of Union and SPD, a future draft for period up to 2045 will be drawn up by a pension commission. The Commission, in which social partners and scientists are also to be represented, must "put proposals on table" by March 2020, "Laumann said. Thus, legislation on pensions could be addressed beyond 2025 in this legislature.

Date Of Update: 02 February 2018, 12:03
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