Germany’s Labor Minister, Bärbel Bas, has unveiled plans for a major transformation of the national pension system, aiming to make contributions mandatory not only for salaried workers, but also for civil servants, elected officials, and the self-employed.
“We need to broaden the circle of those who participate in financing the pension system,” Bas said in an interview with Funke.
Under the current system, civil servants enjoy significantly higher pensions than average employees, receiving about €3,280 monthly on average, compared to just €1,108 for standard workers. Bas is advocating for the abolition of this disparity in favor of a unified and equitable pension structure. To guide the reform, the government intends to form a special committee responsible for outlining the specifics.
The push for reform comes amid increasing financial pressure on the pension fund. Monika Schnitzer, who leads the Council of Economic Experts, noted that one way to address the strain might involve revising the way pensions are adjusted over time.
“Pensions can no longer grow as quickly as before. One option is to link them to inflation,” she said in an interview with Focus.
