Pension commission to present recommendations on June 23

The German government's pension commission will present its proposals for reforming old-age security on June 23. The original date had been June 29.

The commission is thus concluding its work earlier than planned. This gives the governing coalition more time to prepare a reform package covering taxes, pensions, the labor market and bureaucracy before summer.

Chancellor Friedrich Merz plans a retreat on July 1 with party and parliamentary group leaders as well as key government representatives. The commission is currently holding its final vote on the recommendations.

The goal is to make the pension system future-proof so that societal aging does not overburden the pension fund. The recommendations are to be handed over to Chancellor Merz or Labor Minister Bärbel Bas.

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German cabinet meeting finalizing 2027 health reform draft with 16.3 billion euro savings target.
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German government finalizes 2027 health reform draft with 16.3 billion euro savings target

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Following Chancellor Merz's announcement that the bill was practically ready, the German government finalized its health reform draft on April 28, targeting 16.3 billion euros in savings from 2027—down from an initial 19.6 billion—to address a 15.3 billion euro deficit at statutory health insurers. The Greens decry it as a burden on insured people and companies, while Health Minister Nina Warken calls it balanced. Cabinet approval is set for Wednesday.

Germany's black-red federal government aims to pass a package of reforms covering taxes, the labor market, pensions and bureaucracy reduction before the summer break. A further coalition committee meeting shortly before the parliamentary summer recess in early July is set to make the decisions. Chancellor Friedrich Merz will invite social partners to the chancellery in early June.

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The pension commission set up by the federal government is examining mandatory splitting of pension claims between spouses. A recommendation is due on June 29.

Chancellor Friedrich Merz stated that the draft health reform bill is »practisch fertig« and will be voted on in the cabinet on Wednesday. Health Minister Nina Warken's (CDU) savings package aims to cut around 19.6 billion euros next year. The proposal faces criticism from associations, health insurers, and parts of the coalition.

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The German government has approved the Altersvorsorgedepot as the new framework for state-supported retirement savings. From January 2027 self-employed people and civil servants will also be eligible. The Riester pension scheme ends at the close of this year.

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