Work requires increased effort and extended hours, according to Rich. - Work demands more effort and extended hours, according to Reiche's statement.
In a recent development, Economics Minister Katherina Reiche of the CDU party has advocated for an increase in working hours and a later retirement age as part of Germany's pension reforms. These reforms, as outlined in the coalition agreement, aim to address the challenges posed by demographic changes and increasing life expectancy.
Reiche's proposals include enabling people to work longer hours and longer in life, with a plan to raise regular weekly working hours from 35 to up to 40 in many sectors. The retirement age is also set to be increased gradually beyond the current 67 years. These measures are intended to boost pension revenues and reduce pension expenditures by extending working life.
The coalition agreement reflects this approach, with plans to raise the regular weekly working hours from 35 to up to 40 and a gradual increase of the retirement age. Additionally, measures have been put in place to support pensioners working after retirement, such as tax exemptions on income up to €2,000 per month while receiving a pension and facilitation of rehiring pensioners without indefinite contracts.
However, Reiche's statements have been met with criticism from the CDU's social wing, with some viewing her as a foreign body in the federal government. The German Social Association (SoVD) has also criticized Reiche's proposals, believing that a stabilization of the pension system can only be achieved through an employment insurance that includes civil servants and members of parliament in the statutory pension system.
Reiche has criticized the current working culture in Germany, stating that Germans work less on average compared to international standards. She has pointed out that many employees in Germany work fewer hours than their counterparts in the U.S., with an average of 1,800 hours per year in the U.S. compared to 1,340 hours in Germany.
These reforms are part of the CDU's push within the coalition to adapt Germany's pension system to demographic and economic challenges by encouraging longer and fuller working lives. The recent changes in 2025 include an increase in pension payments by about 3.74%, but these are adjustments to current benefits, not the structural reforms suggesting longer working hours or a later retirement age.
References:
[1] FAZ (Frankfurter Allgemeine Zeitung) - [Article Title] [2] FAZ (Frankfurter Allgemeine Zeitung) - [Article Title] [3] FAZ (Frankfurter Allgemeine Zeitung) - [Article Title]
- The EC countries might be closely watching Germany's proposed pension reforms, as they aim to extend working life through increased weekly working hours and a later retirement age, with the goal to bolster pension revenues and reduce expenditures.
- The controversy surrounding Economics Minister Katherina Reiche's pension reform proposals in Germany extends to the world of business, as her proposals face criticism from the CDU's social wing, labor organizations, and even some within the coalition government.
- The debate on Germany's pension reforms and the role of employment policy within the broader context of policy-and-legislation, general news, finance, and politics is complex and ongoing, with many considering the social and economic implications of extending working life in an ageing population.
