Union open to SPD proposal on retirement age

The Union is open to an SPD proposal to link the retirement entry age to contribution years. This approach aims to stabilize the pension system but faces criticism from economists and employers. The debate is gaining momentum ahead of the establishment of a pension commission.

The debate on pension reform in Germany is picking up speed. An proposal by economist Jens Südekum, advisor to SPD Finance Minister Lars Klingbeil, suggests tying the retirement entry age not rigidly to a specific life age but to the number of contribution years. This could mean a later retirement age especially for female and male academics, who often enter the labor market later.

Federal Labor Minister Bärbel Bas (SPD) and SPD General Secretary Tim Klüssendorf express positive views on the idea. There is also support in the Union: CSU leader Markus Söder finds the basic idea »sympathetic« and advocates for flexible design, considering part-time phases. CDU General Secretary Carsten Linnemann deems the proposal discussable and calls for open work in the planned pension commission. CDU politician Nicklas Kappe from the Young Group emphasizes the need to differentiate between occupational groups and praises crediting early contribution years, such as from vocational training at age 18. Chancellor Friedrich Merz (CDU) calls the linkage »worth considering« but wants to await a comprehensive reform.

Criticism comes from outside. BDA Managing Director Steffen Kampeter sees the proposal as a »relaunch of retirement at 63« and rejects it. DIW President Marcel Fratzscher warns that the approach would increase inequalities and disadvantage women with family or volunteer phases, without reducing old-age poverty.

The pension commission is to be established before Christmas, with representatives from politics, science, and the young generation. Proposals are due by mid-2026, leading to legislation. The commission will also examine including additional contributors like civil servants or self-employed, which meets skepticism in the Union – Söder warns against an »expropriation of the middle class« and a »class struggle«.

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