New Law, New Life?

New Law, New Life?

To counter the problems on the labor market, the labor market expert Holger Schäfer from the Cologne Institute of the German Economy (IW) is calling for a “Demography Check” for all new laws. “Every law that the government puts on the way should undergo a Demography Check” Schäfer told the “Stern” in the context of the publication of the new labor market numbers.

“This means that it should be examined whether the proposal has a negative impact on the labor force supply.” If so, one should “think very carefully again whether one really wants to introduce this performance” Schäfer said.

The economist from the employer-related institute is calling on the government to stop inventing new benefits that financially reward staying away from work. As an example, Schäfer mentioned the demand for a so-called “family start time.” This was already planned in the coalition agreement and is now also found in the SPD’s election program. This would enable fathers to take two weeks of paid leave at home after the birth of a child. An EU directive also requires a ten-day paid leave for the second parent around the birth of the child. The unemployed, according to the plans, would have no entitlement to the benefit.

“This may be nice in individual cases, but ultimately it’s another brick in a web that makes it financially attractive not to go to work” Schäfer said. “This is something we need to get over.”

It’s not a matter of trivializing the fact that unemployment is rising, Schäfer said. Despite these numbers, the fundamental problem is the lack of skilled workers. To address this, it’s not just a matter of immigration and better childcare options, but “above all, a rethink in politics, recognizing the situation as serious.