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Germany Weighs Pension Shift to Contribution Years as Merz Backs Debate

A rent commission will be appointed before Christmas to deliver recommendations by mid‑2026.

Overview

  • Chancellor Friedrich Merz called tying full retirement to years of contributions "worth considering" while stressing decisions will follow a comprehensive reform plan.
  • Labor Minister Bärbel Bas endorsed examining the model, which in reporting is often illustrated as 45 years for an unreduced pension.
  • Under that illustration, someone starting work at 16 could retire around 61, whereas graduates who begin later could reach full pension close to 70.
  • Employer group BDA rejected the idea as a rebranding of early retirement and prominent economists and left‑leaning politicians warned it could deepen inequalities, especially for women and caregivers.
  • Key design issues remain unresolved, including credit for child‑rearing, caregiving, illness, part‑time work, and strenuous occupations, and current law still phases in a standard age of 67 by 2031.