(de-news.net) – Markus Söder, leader of the Christian Social Union (CSU) and Minister President of Bavaria, has called for a far-reaching restructuring of Germany’s tax and social policy architecture. Framing his proposal within the historical precedent of the early-2000s reforms advanced under former Chancellor Gerhard Schröder, Söder argued that the scale of present economic and structural challenges warrants an overhaul comparable in ambition to the measures widely known as Agenda 2010. Although he acknowledged the political sensitivity inherent in such comprehensive reforms, he maintained that a renewed and clearly defined program — designated as ‘Agenda 2030’ — should be initiated to modernize the country’s social systems and restore long-term competitiveness.
With respect to fiscal policy, Söder outlined a program of broad-based tax relief designed to stimulate economic dynamism across multiple sectors. He advocated reducing income tax burdens for middle-income earners as a means of strengthening domestic demand and easing pressure on the “broad middle” of society. In parallel, he called for accelerating corporate tax reform to enhance the international competitiveness of German firms and to provide clearer incentives for investment. Additionally, he proposed devolving authority over inheritance taxation to the regional level, a step he characterized as particularly beneficial for small and family-owned enterprises, which often face succession-related financial strain under existing regulations.
Modest labor increase linked to stronger growth
Söder also underscored what he described as the macroeconomic advantages of moderately increasing labor input. In his assessment, incremental extensions of working time could translate into measurable productivity gains and higher aggregate growth. He pointed to the calendar effect of public holidays falling on weekends in the current year as an illustrative example, suggesting that this coincidence had already produced a discernible positive impact on output. Against this backdrop, he argued that an additional hour of work per week — equivalent to approximately twelve minutes per workday — would constitute a proportionate and reasonable expectation. Such a measure, he contended, could raise overall economic output by nearly three percent, thereby contributing materially to growth performance.
Finally, Söder stressed the urgency of implementation. Structural reform, in his view, requires decisiveness and continuity rather than delay. He cautioned that the rhythm of recurring state elections must not impede substantive debate or postpone necessary policy adjustments. Essential reforms, he argued, should proceed irrespective of electoral timetables, as prolonged deferral risks undermining both economic resilience and public confidence in the capacity for governance.
