Amid discussions concerning pension and healthcare reforms, the VdK Deutschland (Social Association) has issued sharp criticism regarding proposed plans by the Union coalition, particularly those advocating for reducing the state pension to merely a basic level of security.
During separate statements, VdK President Verena Bentele warned that limiting the statutory pension to only a basic safety net would heavily devalue it, endangering crucial components such as survivor benefits and protections in cases of reduced working capacity. She specifically dismissed a proposal recently put forward by Chancellor Friedrich Merz (CDU), calling it “cynical and detached from reality” given that 38 percent of employed individuals already cannot afford additional private retirement savings. Bentele argued that Merz fails to acknowledge how many people cannot afford private savings. She reiterated that such a move would significantly increase the risk of poverty in old age, especially for individuals with low and middle incomes, or those who spend long periods in care work or are unemployed. According to the VdK, the statutory pension must remain the strong foundational pillar of retirement security; private savings can complement but must not replace it.
Furthermore, VdK leadership expressed severe concerns regarding several components of the planned healthcare reforms, ahead of the upcoming cabinet meeting. One major point of contention is the “abolition of free co-insurance” which Bentele strongly condemned, labeling it an expression of genuine solidarity and a core pillar of the social state.
Addressing the financial difficulties within the statutory health insurance (GKV), Bentele stressed that these must be solved through solidarity, urging a fairer inclusion of high earners. She suggested that adjusting the contribution assessment ceiling for the GKV to match that of the pension insurance would send a strong signal: those who have more must contribute more to the GKV solidarity system. Regarding the missing revenue earmarked for citizen’s allowance recipients, she insisted the federal government must finally compensate these costs, stating that the necessary funds could be secured through fairer tax policy.
The VdK also vehemently rejected the proposed reduction of sickness benefits put forth by Health Minister Nina Warken (CDU). Bentele argued that this particular cut would disproportionately affect people with chronic illnesses and small incomes. Instead of cutting benefits, she advocated for a greater focus on preventative measures and comprehensive care packages, arguing that those wishing to save costs on sickness benefits require healthy employees.
These criticisms come as the detailed legislative draft, prepared by the Ministry of Health based on an expert committee’s recommendations, is slated to be presented to the cabinet on Wednesday, revealing several remaining points of disagreement.