She emphasized the necessity of adjusting standard rates to reflect the increasing cost of living, highlighting that the basic income support represents a critical safety net preventing individuals from falling into poverty
Piel further noted the paradoxical situation of a significant number of “Bürgergeld” recipients – exceeding 800,000 – already participating in the workforce, supplementing low wages with benefits She suggested the freeze offers minimal fiscal savings, as expenditure on the “Bürgergeld” remains proportionally stable as a percentage of Germany’s gross domestic product
Addressing the government’s budgetary concerns, Piel called on opposition parties to reconsider their approach, advocating for increased taxation of high-income earners rather than reductions in social benefits The DGB has proposed a more equitable tax system which it claims could generate additional revenue exceeding 60 billion euros annually for federal, state and local governments Piel warned that social cuts, particularly amidst concerns about rising unemployment, would exacerbate anxieties and social divisions She asserted that achieving a sound budget requires greater tax fairness, not reductions in social support
