The German Trade Union Confederation (DGB) has issued a strong warning to the SPD against abolishing the early retirement option known as “Rente mit 63.”
According to reports from the newspaper “Bild,” the pension dispute escalated during the recent SPD parliamentary group meeting before the summer recess. DGB President Yasmin Fahimi reportedly reminded the members of parliament that it was the introduction of the Rente mit 67 that had caused the SPD its greatest difficulties. She claimed in statements made by attendees that this policy was the “setback” from which the party had yet to recover. The politicians interpreted Fahimi’s remarks as a signal that the SPD was on the brink of failure, suggesting that removing the Rente mit 63 would be a step further toward the party’s demise, making the faction culpable for its collapse.
Following this discussion with the SPD parliamentary group, the DGB increased the political pressure, sending a “pension emergency letter” to all 16 state prime ministers. In this communication, the unions demanded that the tax-free pension after 45 years of contributions be maintained, as well as the continuation of the block model in partial retirement. DGB President Fahimi also personally met with all six SPD state leaders during the summer, alongside Hendrik Wüst, the CDU head of North Rhine-Westphalia.
The DGB argues that giving long-term contributors an earlier retirement age is necessary. They state that individuals who have paid contributions for an average of ten years longer should be allowed to retire two years sooner. According to the German Pension Insurance system, the average retiree has 34.8 years of contributions, while those utilizing the Rente mit 63 have 46.5 years of contributions. The DGB reports that nearly 30 percent of new pensioners are eligible for the earlier pension option.
In addition to the three CDU state prime ministers from Eastern Germany-Michael Kretschmer (Saxony), Mario Voigt (Thuringia), and Sven Schulze (Saxony-Anhalt)-Manuela Schwesig, the SPD state prime minister of Mecklenburg-Vorpommern, is strongly opposing the planned abolition of the Rente mit 63. Schwesig told “Bild,” “This reform punishes the high achievers in our state. It is a slap in the face to millions who get up every morning.” She added that 75 percent of Germans reject the abolishment, urging the Chancellor to set the proposal aside and engage in dialogue with the state leaders.
