(GermanPolicy.com) – From July, pensioners in Germany are to receive significantly higher pensions, according to an agreement by the the Federal Cabinet and the Federal Council. According to the Federal Ministry of Labor, pensions in western Germany will be increased by 3.35 percent, and by 6.12 percent in eastern Germany. This is a stronger increase than previously expected. Federal Minister of Labor Heil declared that the development of pension levels should not be decoupled from wage levels. The pension system works, he emphasized. There are around 21 million pensioners in Germany.