The Federation of German Employers’ Associations (BDA) has warned of an expansion of the mothers’ allowance and instead advocated for far-reaching reforms.
“The CSU proposals would, according to the German Pension Insurance Association, cost an additional five billion euros per year in estimation. This would further drive up the social insurance contributions – especially for the contributors”said BDA Managing Director Steffen Kampeter to the “Redaktionsnetzwerk Deutschland”.
“We need far-reaching structural reforms in all areas of social insurance.”One must adapt to the demographic realities, he added. Kampeter demanded a longer working life. “We must work more and longer as a whole economy if we want to preserve our prosperity. Not everyone or every person – but many”he added.
“This assumes, however, that early retirement incentives are to be reduced and attractive work incentives are to be set. A nationwide childcare system, more net from gross and above all, keeping older employees longer in the labor market – this is essential for a social and labor market policy turn.