Old-age pension in Germany: Debate about abolishing the pension at 63

The importance of the ageing population for the German pension system

German society is facing major challenges in the pension system. More and more pensioners have to be supported by a smaller number of working people, which puts pressure on pension funds. The government is working on reforms to ensure the stability of the system, but there is also criticism of some existing regulations.

Injustices in pension policy

An economic expert, Albrecht Ritschl, has the “pension at 63" because, in his view, it leads to injustice. While people in physically demanding jobs such as nursing or roofing could justify an earlier retirement, he sees problems when people from the upper middle class use this regulation to spend their retirement in Tuscany. According to Ritschl, this leads to a redistribution from the bottom to the top.

The role of the younger generation in pension security

Ritschl points out that the concept of retirement provision has changed fundamentally. Children used to be the mainstay of old age provision, but today this is increasingly dependent on the state. Current contributors finance the pensions of the older generation, but due to falling birth rates the population is getting older and there are fewer children to make future contributions.

There is therefore debate about whether politics should play a greater role in supporting families in order to fairly distribute the costs of pension provision. Measures such as guaranteed kindergarten places and longer schooling could help families generate greater social benefits.

It is important not to underestimate the challenges of the ageing population for the pension system. debate on how pension security can be maintained will therefore play a central role in the future.