(de-news.net) – In light of ongoing economic uncertainty, the Confederation of German Employers’ Associations (BDA) has formally called upon the Federal Government to abandon its proposed expansion of the Mütterrente. The organization expressed apprehension that the initiative, which would be financed through public tax revenues, could significantly constrain the state’s capacity to invest in other critical areas of economic development. According to media accounts, BDA President Rainer Dulger emphasized that the redirection of fiscal resources toward pension enhancements might undermine broader efforts to stimulate growth and innovation. He reportedly warned that the measure could send misleading signals to younger generations regarding the sustainability of social benefits and stressed the urgent need for a comprehensive reform agenda aimed at reinforcing Germany’s economic resilience and global competitiveness.
Furthermore, Dulger appealed directly to Markus Söder, the chairman of the Christian Social Union (CSU), urging him to reconsider the initiative, which had been championed by his party within the governing coalition. Dulger is said to have expressed confidence in Söder’s pragmatic approach to policymaking, suggesting that the CSU leader possessed the political acumen to respond flexibly to evolving economic challenges.
Prior to Dulger’s intervention, Clemens Fuest, President of the Munich-based Ifo Institute, had already voiced similar reservations. He had reportedly advised against proceeding with the expansion of the Mütterrente, citing the deteriorating economic climate in Germany as a compelling reason for restraint. The Junge Union, the youth wing of the CDU/CSU, also echoed these concerns, indicating a broader unease within conservative circles regarding the fiscal implications of the proposed pension reform.
Despite these objections, the CSU has firmly rejected calls to halt the initiative. CSU Secretary General Martin Huber dismissed Dulger’s criticisms as unfounded, asserting that the Mütterrente represented a matter of social justice and recognition for the contributions of mothers. He highlighted that approximately ten million women stood to benefit from the reform, framing it as a vital step toward equitable pension policy.
The SPD has likewise declined to support the employers’ appeal. Parliamentary Secretary Dirk Wiese reportedly affirmed that the coalition government had reached consensus on a comprehensive pension package, which includes the Aktivrente, the Mütterrente, and the stabilization of the pension level at 48 percent. He is said to have underscored the collaborative nature of the legislative effort, noting that the package was scheduled for final approval in the Bundestag in November. Although the Mütterrente originated as a CSU initiative, Wiese reportedly emphasized that the SPD had endorsed it within the framework of the coalition agreement. He also pointed out that many citizens perceived the current pension regulations as inequitable, thereby justifying the proposed adjustments.
The coalition’s decision to expand the Mütterrente was reportedly made due to the CSU. Under the revised provisions, three years of child-rearing time would be credited toward pension entitlements regardless of the child’s birth year. This marks a significant departure from the existing rule, which limits eligibility to parents of children born on or after January 1, 1992. The reform is expected to result in higher pension payments for a broad segment of the population, reinforcing the government’s commitment to recognizing parental contributions across generational lines.
