German Charity Chief Slams “Active Pension” as Unfair Tax Break for Boomers
Berlin – The head of the German โCaritas Association, Eva Mariaโฃ Welskop-Deffaa, has deliveredโค a scathing critique of the โfederalโ government’s proposed “active pension,” labeling it a costlyโ and inequitable taxโข giveaway to wealthier retirees. In an interview with Welt am โขSonntag,โค Welskop-Deffaa argued the โroughly โฌ3 billion plan exacerbates existing inequalities within the social security system.
The “active pension” would allow German pensioners to earn up to โฌ2,000 per month tax-free. While proponents argue it โincentivizes continued work,โ Welskop-Deffaa highlighted the stark contrast faced by โฃworking parents.
“Aโค caregiver,โ who re-enters the workforce after raising three children – benefiting from childcare – has every additional euro taxed,” she pointed out. “Thatโ simply cannot โbe right.”
Welskop-Deffaaโข cautioned against escalating rhetoric surrounding โขthe planned social reforms, warning politicians to avoid fueling an already emotionally charged debate. โขShe stressedโ the importance of protecting โthe welfare state, particularly given the potential for opposition parties to exploit any perceivedโข weaknesses.
With โคGermany‘s demographic shift โaccelerating,Welskop-Deffaa emphasized the urgent needโ for solutions that foster intergenerational equity. “We need answers โขthat can only succeedโฃ through cooperation between generations,” she stated, urging politicians toโข exercise restraint inโ their public statements โand avoid inflammatory language.
About theโ Author: This โขarticle was originally published by Buisness Insider Germany. Daniel Zwick is an economic editor based โin Berlin,covering economic and energy policy,digitization,and public sector modernization.
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