Economic turnaround or social cuts? FDP provokes with radical proposals

Economic turnaround or social cuts? FDP provokes with radical proposals

The FDP has decided to prepare for the upcoming election campaigns, even if this could mean an economic policy conflict within the traffic light coalition. A central point of the 12 “acceleration of the economic transition” decided by the party is the tougher sanctions for unemployed people who reject job offers. If they refuse to work unreasonably, they should expect an immediate reduction of 30 percent of their benefits.

Furthermore, the FDP plans to abolish the pension at 63 and introduce tax advantages for overtime in full-time positions. These measures aim to stimulate the economy and strengthen the labor market. The SPD criticized the FDP's proposals as an attack on the real top performers in the country. They emphasized the importance of protecting workers who keep the country running through their hard work.

The Greens and the SPD, on the other hand, have other priorities, aimed at greater support for collective wages, minimum wages and investments in infrastructure. A sovereign wealth fund for targeted investment in transformation and infrastructure is supported by both parties. The FDP, on the other hand, is calling for relief for the economy, such as the complete abolition of the solidarity surcharge and the suspension of the German supply chain law.

The discrepancies in the parties' economic policy approaches suggest that the formation of a common response to Germany's economic challenges is still a long way off. In the summer, when Finance Minister Lindner presents his budget draft, there could be another conflict within the coalition. Despite the differences, the FDP hopes to be able to implement some of its proposals in the coalition, while the other parties want to keep their own priorities.