German pension plans prompt EU reply

The German grand coalition government announced in late 2013 the lowering of retirement age to 63 in certain cases. Not everyone was happy about the proposals. Experts and many in business were criticizing the step as irresponsible.

Under the new plans, Germany would raise the retirement age to 67 from 65 but some people would be allowed to retire on a full pension at 63, provided they had worked for 45 years and contributed throughout that time into the state pension fund.

The vote on the reform proposals took place in the Bundestag on the 23 May 2014 and was passed by 460 to 64.

ESO: Background information: ‘Grand coalition’ deal sealed in Germany http://www.europeansources.info/record/grand-coalition-deal-sealed-in-germany/

Financial Times, 22.05.14: Pension reform reveals German double standards (via Euro|Topics) http://www.eurotopics.net/en/home/presseschau/archiv/aehnliche/archiv_article/ARTICLE143918-Pension-reform-reveals-German-double-standards

Spiegel Online International, 13.11.13: Punishing the Young: German Pension Reforms a Gift for the Elderly http://www.spiegel.de/international/germany/grand-coalition-pension-reform-will-create-inequality-a-933310.html

Reuters, 19.05.14: Germany finalises flagship pension reform http://uk.reuters.com/article/2014/05/19/uk-germany-pensions-idUKKBN0DZ16120140519

Blog: Bruegel, 16.04.14: Minimum wage and pension reform in Germany: A headwind for growth? http://www.bruegel.org/nc/blog/detail/article/1306-minimum-wage-and-pension-reform-in-germany-a-headwind-for-growth/

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