The German Caritasverband, a major Catholic aid organization, has voiced strong criticism of the German government’s proposed “active retirement” scheme. Eva Maria Welskop-Deffaa, the organization’s president, described the initiative, estimated to cost approximately €3 billion, as a “very expensive tax gift for well-situated baby boomers.
The plan, championed by the governing coalition, would allow retirees to earn up to €2,000 per month tax-free. Welskop-Deffaa contrasted this with the situation faced by individuals like caregivers, who often face full taxation on additional income earned to supplement their own family’s finances. “A caregiver, supporting a family with three children, who manages to slightly increase their earnings when childcare is available, must pay full tax on every additional euro. That cannot be right” she stated.
Amidst ongoing debates surrounding proposed social reforms, Welskop-Deffaa cautioned politicians against exacerbating the emotionally charged atmosphere. She emphasized the fragility of the social welfare system and warned that the opposition is poised to exploit any vulnerabilities. The increasingly visible demographic shifts necessitate collaborative solutions. “We need answers that can only succeed through cooperation between generations” she asserted, calling for greater caution and restraint in political pronouncements and public discourse.
