Overview

• SPD leader Lars Klingbeil has urged the coalition government to pursue a comprehensive pension reform, including expanding the contributor base, to address long-term financial challenges.
• Klingbeil reaffirmed his opposition to raising the statutory retirement age, advocating instead for incentivized voluntary work extensions for retirees.
• The coalition agreement guarantees a 48% pension level until 2031, with additional tax subsidies covering the associated costs, but critics warn this is insufficient to ensure sustainability.
• Economists predict that without structural reforms, social insurance contributions could rise from 42% to as high as 53% of wages by 2035, straining workers and employers alike.
• The SPD emphasizes protecting early retirement rights after 45 years of contributions while highlighting the need for equitable solutions to avoid intergenerational inequities.