Employer Boss Wants to Cut Social Benefits, Cap at 40%!

Employer Boss Wants to Cut Social Benefits, Cap at 40%!

Rainer Dulger, president of the employers’ association, calls for more intervention in the welfare state from the black-red coalition than what is currently stipulated in the coalition agreement. “Reforms at the social insurance institutions are urgently needed and I would have liked to see more than the commissions that are now being proposed” Dulger told the “Süddeutsche Zeitung” (Monday edition). This is one of the few points on which he disagrees with the Union. “Maintaining the pension level is not generationally fair – here, the expenditures should not continue to rise to this extent” Dulger said. Social contributions should be capped at 40 percent. “This should be written into the constitution. But no politician wants to tackle this issue. Anyone who says the wrong thing on this topic is considered unwinnable. This must not be the case.”

The 61-year-old businessman has been the President of the Federal Association of German Employer Associations (BDA) since 2020 and is thus the highest representative of their interests. Dulger praised the incoming Federal Chancellor Friedrich Merz (CDU) and his plans, especially his 100-day plan. “It is ambitious, fast and solution-oriented” Merz said. “He understands the issues, he knows what this country needs.”

Dulger rejected a stronger participation of the wealthy in financing the welfare state. “If we add something to the taxes for the richest, very little comes out. But it further weakens the location” he said.

Despite the general shortage of skilled and labor force, Dulger advocates for a general service obligation. “My personal view is that Germany needs a compulsory year for all” he said. This could take place in the military, the technical rescue service, the fire department, or even in the hospital. “The state offers education and protection, therefore everyone should do something for our community for a year in return.” He also stated that the social security systems could benefit from this help.