Union parties present proposal in support of the German economy

(de-news.net) – The Union parties in the German Bundestag have submitted a twelve-point plan to Chancellor Scholz (SPD) in support the German economy. The proposal contains, among other things, the demand to limit social contributions to 40 percent of gross wages, to give tax advantages to overtime for those among employees working full-time, and to significantly reduce electricity tax. What is more, so-called retained profits in companies are to be taxed at just 25 percent, according to the document which also states that in cases where responsible authorities have not yet made a decision after a three-month period, entrepreneurial projects should be considered approved.

Both employers and employees could benefit from more flexible working hours, the paper states. Additionally, CDU parliamentary group leader Merz and CSU regional group leader Dobrindt propose introducing weekly working hours. Currently, one day’s working hours apply. Finally, the first 2,000 Euros of earned income per year should be made tax-free for pensioners. On the other hand, there are sanctions for refusing to accept work for those receiving citizens’ benefit. The position paper, which is intended to save Germany from recession in the next two months, will be presented to the Bundestag by the Union parties in the next session.

Federal Economics Minister Habeck (Greens) and Federal Finance Minister Lindner (FDP) have also spoken out in favor of relief for companies. Habeck wants a special fund financed by borrowing to finance tax depreciation options and tax credits, while Lindner is against taking on debt.

The Union’s emergency program has been negatively commented on by politicians in the government coalition. The deputy FDP parliamentary group leader Meyer justified this with a lack of counter-financing. Green Party deputy Audretsch pointed out that an agreement on the Growth Opportunities Act had to be reached.

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