Germany’s leading trade union confederation, the DGB, has voiced strong criticism regarding the planned freeze on adjustments to the “Bürgergeld” – the country’s basic income support system – for the coming year
Speaking to the Rheinische Post, DGB board member Anja Piel argued that maintaining current benefit levels represents a further erosion of purchasing power for individuals already living at the subsistence level She emphasized the necessity of adjusting standard rates to reflect the increasing cost of living, asserting that the basic income represents a critical threshold preventing further descent into poverty
Piel also contested the framing of Bürgergeld recipients as being in opposition to employed workers, highlighting that over 800,000 individuals receiving basic income simultaneously hold jobs, supplementing low wages with the benefit She further noted that the financial impact of maintaining current benefit levels is minimal, as expenditure on Bürgergeld as a percentage of gross domestic product has not increased
Addressing the current budgetary discussions, Piel called on the opposition CDU/CSU party to shift its focus towards higher taxation of wealthier individuals rather than reducing benefits for those most vulnerable The DGB has presented proposals for a more equitable tax system, estimating potential additional revenue exceeding 60 billion euros annually for federal, state and local governments Piel concluded by stressing that progressive taxation, not social cuts – particularly in a climate of potential job losses – is the key to a robust and cohesive future for Germany