Pension reform: Civil servants and self-employed people should finally pay in!

Pension reform: Civil servants and self-employed people should finally pay in!

In a current initiative, Federal Labor Minister Bärbel Bas has called for civil servants, members of parliament and the self-employed to pay into statutory pension insurance in the future. This comes against the backdrop of a German pension system that is under pressure, with fewer young people paying in while the number of pension recipients continues to rise. Bas sees the inclusion of all professional groups as necessary in order to make the pension system fairer and more stable. How Echo24 reported, however, concrete plans to implement this pension obligation for civil servants are still unclear.

The pressure on the pension system is further increased by demographic developments. As society ages, there are fewer and fewer contributors and at the same time more pension recipients. Bas emphasizes the urgency of improving pension insurance revenues to address this imbalance. However, even including civil servants and the self-employed in pension insurance might not be enough to completely reduce the pressure on the system. In this context, contribution increases must also be taken into account.

Comprehensive reform proposals are being planned

In order to promote pension insurance reform, a pension commission should develop proposals. This commission was agreed between the black-red coalition and will deal with the design of the pension obligation. However, the German Civil Service Association (dbb) expresses concerns and describes the initiative as “compulsory uniform insurance”. Its federal chairman, Ulrich Silberbach, complains that the inclusion of civil servants would cause additional costs for employers, which could also lead to an increase in gross salaries. Loud World The long-term financing plans in the coalition agreement remain vague and refer to a growth-oriented economic policy and a high employment rate.

Another aspect of this reform concerns the pension level set in the coalition agreement, which is to remain at 48 percent until 2031. This shows how important it is to include different perspectives in the discussion in order to find a sustainable solution to the pension problem.

In addition to her work as a minister, Bärbel Bas has also signaled interest in running for the SPD chairmanship, although without ruling out the party chairmanship. Within the SPD, the situation surrounding the party leadership has recently come to a head again. Lars Klingbeil would like to continue, while Saskia Esken has not yet commented on the future of her position. Bas, who was previously considered a possible Minister for Labor and Social Affairs, would first like to establish herself as Minister for Labor and Social Affairs.