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German Parliament Approves Pension Package in Test of Merz’s Control

The absolute-majority result eased defeat fears, revealing continuing strains in his narrow coalition.

Overview

  • Lawmakers voted 319–225 to pass the package, with 53 abstentions, delivering an absolute majority of the 630-seat chamber.
  • The reform holds state pensions at 48% of average wages until 2031, with the level thereafter set slightly above current law.
  • A group of 18 younger lawmakers from Merz’s Union bloc opposed the plan over projected costs of up to €15 billion per year, warning of a burden on younger generations.
  • The package includes a tax break designed to make it easier for retirees to continue working, a change sought by conservatives.
  • Merz sought passage without relying on the Left Party’s announced abstention, as the vote was cast as a measure of his authority following recent internal setbacks and weak polling.