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Merz Proposes Pension Commission To Calm Union Revolt After SPD Rejects Changes

The coalition's narrow majority leaves young Union lawmakers with decisive leverage.

Overview

  • In an ARD interview, Chancellor Friedrich Merz said a Rentenkommission will be set up this year to deliver proposals before summer 2026 to frame reforms for the period after 2031.
  • Merz backed the current bill covering the pension level to 2031 and floated an accompanying parliamentary resolution to spell out the post‑2031 reform path.
  • The cabinet draft foresees the pension level after 2031 at roughly one percentage point above current law, a shift critics say would add about €118 billion in costs.
  • The Junge Union opposes the draft and calls for structural changes, including linking the retirement age to life expectancy and curbing further social contribution hikes until reforms are in place.
  • SPD leader Lars Klingbeil said the law will not be changed, while CSU’s Markus Söder urged talks and CDU/CSU floor leader Jens Spahn signaled limited room for revisions; with only a 12‑seat margin, the coalition needs support from 18 younger Union MPs, and commentators warn the vote could resemble a confidence test.