Age poverty – IG Metall calls for higher pensions – Frankfurter Rundschau

July 20, 2016

signal to red: age poverty is the major risk, warns IG Metall. Screens from a previous pension campaign. Photo: dpa

The union wants to reverse the reforms of red and green times. In early summer Gabriel and Seehofer provide a lively debate.

Horst Seehofer and Sigmar Gabriel delivered in early summer the prelude, as the heads of CSU and SPD a lively debate on poverty in old age lost advise. Now the unions put to their specific demands. The first workers’ organization IG Metall presented its pension plan. It is mainly due to an increase in the statutory pension levels and strengthening the occupational pension. The costs are likely to be, experts estimate that between 35 and 40 billion euros.

“We demand a change of strategy in the pension policy,” said IG Metall leader Joerg Hofmann. Hopes of past pension reforms that are primarily associated with the name of ex-IG Metall boss and SPD-Social Minister Walter Riester, are not caught on: “The living standard moves for many people in the distant future, and poverty in old age is a significant risk . “A standard pensioners receive after 45 years with average earnings currently just 1370 euros gross. That level should continue to fall. “This shakes the legitimacy of the State pension,” warns Hofmann.

this, the IG Metall wants to reverse the course of reform, especially in the legal retirement decided to red-green times. The Executive Board Member Hans-Jürgen Urban presented a “three-phase concept”: First, the lowering of pensions from the current 47.7 percent to 44 percent in direction in 2030 to be stopped immediately. Then, the retirement benefits are again as soon as possible to rise unabated as wages. Finally, the level should be raised then.

Exact figures called the IG Metall not initially. “The speed at which the level of pension shall be increased to that amount, should be discussed in society,” Urban said. But an idea the union entirely. Man Peile at the end of 2030 a pension level of about 50.5 percent, Urban responds to demand. That would be 6.5 percentage points more than in the calculation of the federal government. After a rule of thumb, each percentage point will cost at level about six billion euros.

cheap so the list of demands is not. “A return to the power side of the pension system and to raise the level of care is not come for free,” Urban says. In theory, he admits, would the contribution rate from the current 18.7 per cent by 2030 this increase to around 25 percent of income. But as bad, believes the IG Metall, will not occur. Finally, one could finance the project through a “mix of instruments”

. Increased federal grant

Specifically wants the union Create a demographic reserve for the year with a high financial burden. These already are required contribution increases are preferred. Then the finance minister should have a higher federal subsidy to contribute, called Urban. Finally, additional revenues could be achieved by expanding the insured group of persons.

A real employment insurance, including the officials, the white and the IG Metall, there will be certainly most long term. Therefore, the union reverted to the contributions of the self-employed who are trying to force into a pension scheme. Of course, this income will face in the future also increased spending, which have not yet taken into account in the concept

.