Caritas President Eva Welskop-Deffaa welcomed the reform package proposed by the black-red coalition, describing the agreement as a significant step forward. Speaking to the Funke Media Group newspapers, Welskop-Deffaa stated that the suggestions regarding tax reform are socially balanced. She expressed satisfaction that the resulting revenue loss from providing tax relief to the lower-middle class will not be covered by increasing VAT on income-poor households, but rather by a tiered tax on the wealthy, aiming for those in stronger financial positions to bear more of the burden. According to the president, greater tax equity will foster increased confidence in the future, especially if families can be effectively given relief.
The Caritas President also explicitly welcomed the coalition’s agreement on measures to combat youth unemployment. She emphasized that a program designed to reduce the number of young people without a school leaving certificate and promote vocational qualifications is urgently needed. Additionally, Caritas supports the cooperation to maintain stable contribution rates for unemployment insurance.
Welskop-Deffaa added: “We welcome the coalition’s determination to overcome distrust and implement important reform promises from the coalition agreement now-that is a great progress.” Regarding pension reform, she urged that the momentum generated by the coalition committee be used to rapidly turn the recommendations of the old-age security commission into legal text. She stressed that issues relating to social balance must not be overlooked, ranging from the new job loss pension to the objective of a unified working life insurance scheme for everyone.
