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Young liberals call for revolt against pension package II
Is the FDP starting a pension revolt? Young Liberals table amendment to change pension package and abolish "pension at 63". Excitement before the party conference!
Young liberals call for revolt against pension package II
The Young Liberals are apparently planning to revise the planned pension package II at the upcoming FDP party conference, which could cause unrest within the traffic light government. Criticism of the pension package presented was expressed in particular by JuLis boss Franziska Brandmann. She criticized that the proposed measures were not sufficient to finance the 48 percent threshold set in the coalition agreement in a generation-appropriate way. Brandmann therefore called for significant improvements, including the introduction of a stock pension based on the Swedish model, a strengthening of private pension provision and the end of the tax-free pension at the age of 63.
Pension package II, initiated by Finance Minister Christian Lindner and Labor Minister Hubertus Heil, aims to secure the pension level at 48 percent in the long term. A central component of the package is the share-based “generational capital”, for which federal funds are to be invested in a sovereign wealth fund and invested worldwide. The income generated should be used to limit increases in contributions to the statutory pension. Expectations of the traffic light government's new pension package are high.
In their amendment, the Young Liberals call for the inclusion of pension contributions on the stock market through individual accounts and entitlements like in Sweden. They are also in favor of abolishing the “pension at 63” because it takes long-standing skilled workers away from the labor market. Their aim is to create a flexible retirement option, similar to Sweden, where the decision about retirement age is left to the employee. The decision on the implementation of these proposals will be made at the upcoming FDP party conference, where strong support from the party is expected. The overarching goal of the amendments is to prevent excessive burdens on the working middle class through increasing pension contributions and to reduce unnecessary non-wage labor costs for companies.