Economists Call for Full Implementation of German Pension Package, Warn Against Piecemeal Cuts

In a joint appeal presented to one outlet, 47 economists such as Axel Börsch-Supan, Clemens Fuest, Constanze Janda, Ulrike Malmendier, Bert Rürup and Moritz Schularick called for the German government to implement the Rentenkommission’s full set of proposals as a coherent package. The plan includes a higher retirement age, a stronger sustainability factor, broader inclusion of occupational groups and the introduction of a statutory capital pension.

The experts criticised the "Rente mit 63" early-retirement benefit, noting it mainly aids better-paid, healthier men while leaving those in need uncovered, and supported the commission’s recommendation to eliminate it. They stressed that any removal of a reform element must be replaced by an equally effective measure, otherwise the entire scheme risks collapse and further postponement of solutions to the ageing population’s fiscal strain.

The letter also highlighted the need for contributions from employees, employers, retirees, politicians, civil servants, board members and the self-employed. Federal Chancellor Friedrich Merz and Labour Minister Bärbel Bas had previously spoken of implementing the package without cuts, describing it as a "Gesamtkunstwerk". The economists warned that delaying action would shift the burden onto younger generations.