A controversial plan in the Merz party: the losers are those without children and retirees
The Young Union, CDU’s youth wing, has proposed a sweeping pension reform plan that could disadvantage childless workers and current pensioners. The party conference in Stuttgart, scheduled for February 20–21, will debate whether to adopt the controversial measures.
The plan introduces a “3:1 rule” linking retirement age to average life expectancy, potentially raising the retirement age by half a year every ten years starting in 2031. Early retirement at 63 would be largely abolished, except in hardship cases. Reductions for long-term insured early retirees would double, and pensions would be tied to inflation rather than wages, likely limiting future increases.
A particularly sensitive aspect is higher contributions for childless individuals. According to the proposal, childless workers would pay one percentage point more into the pension system, while those with only one child would pay 0.5 points extra. Parents with two or more children would continue paying the standard rate. The justification is that parents help sustain the intergenerational pension contract.
The idea of surcharges for childless citizens is not entirely new: in Germany, long-term care insurance already imposes higher contributions on those without children. The Young Union proposal would extend this approach to pensions, sparking concern about fairness and potential financial strain for workers without children.
Internally, the plan is likely to meet resistance from pensioners and employees alike. How Friedrich Merz and the CDU handle the proposal could determine the direction of Germany’s pension debate, balancing fiscal sustainability against public and political backlash.