Verdi Draws Red Lines on Government Reforms, Rejecting Pension Cuts and Work Hour Increases
Politics

Verdi Draws Red Lines on Government Reforms, Rejecting Pension Cuts and Work Hour Increases

Frank Werneke, the chairman of the service union Verdi, has outlined several non-negotiable measures regarding the reform package proposed by the government. Speaking to Handelsblatt, he emphasized that the union has clear “red lines” which include any restrictions placed on the right to strike or on dismissal protection. Additionally, he stated that absolute no-gos involve raising the retirement age, lowering pension levels, or extending the daily maximum working hours solely through the employer’s right of direction.

Union and employer representatives are scheduled to meet with the Chancellor for the first time on June 10th, and the government’s reform package is expected to remain stable until the summer break.

While Werneke stated that he remains open to dialogue, he also warned of resistance if the union’s core demands were breached. He added, “If the term ‘reform’ is merely a code word for social cuts, then there will be protests”. The scale of any planned actions, however, will depend on the entire constellation of reforms-covering not just working hours, but also pensions, healthcare, care provision, and dismissal protections.

Werneke specifically criticized the proposal to increase the retirement age, describing it as “a pension cut through the back door” especially given the already low pension levels. He argued that people over 55 still face poor employment opportunities and are “simply unwanted” in the job market. Furthermore, he countered the argument that people must work longer due to increased longevity, noting that the average life expectancy in Germany has not risen in recent years, partly due to the COVID-19 pandemic. He also pointed out that lower-income earners demonstrably have shorter, and even declining, life expectancies.