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SPD rejects Merz's pension cuts, calls for system stability and reform

A political showdown over pensions unfolds in Germany. While Merz pushes for drastic cuts, the SPD insists on protecting retirees—and looking abroad for smarter solutions.

The image shows an old newspaper advertisement for the pension inn in Dresden, Germany, with black...
The image shows an old newspaper advertisement for the pension inn in Dresden, Germany, with black text on a white background.

SPD rejects Merz's pension cuts, calls for system stability and reform

Dirk Wiese, the SPD parliamentary group's managing director in the Bundestag, has rejected Chancellor Friedrich Merz's (CDU) proposal to reduce the state pension to a mere basic income safety net in the future.

"People must be able to rely on the state pension," Wiese told broadcasters RTL and ntv. He emphasized that statutory pension insurance is a vital safeguard for millions across the country, with many having paid into the system "with the earnings of their own hard work." He insisted, "This cannot just be a basic safety net—people must be able to depend on their state pension."

At the same time, Wiese expressed openness to evolving the pension system. "We have just pushed through reforms to the Riester pension—a new private, capital-funded retirement plan, which is the right and important approach," he said. He also voiced strong support for further strengthening and expanding the second pillar of occupational pensions. Additionally, Wiese advocated for broadening the contributor base, stating, "I firmly believe that members of the Bundestag should pay into the system." He suggested looking to neighboring countries for lessons, noting that Austria and the Netherlands had implemented "bold and innovative models."

Looking ahead to further discussions, Wiese pointed to the coalition's newly established pension commission, which is set to present its findings on June 30. He called it "prudent" to let the commission complete its work before evaluating the results.

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