A group of experts suggests new rules for the pension. The group is called pension commission. It makes 33 suggestions. Chancellor Friedrich Merz wants to use all suggestions.
The pension age shall rise. It rises slowly from the year 2031. It follows the life expectancy. People might retire at age 70 later. The pension at age 63 shall end.
The money rules also change. The pension insurance payments shall rise. A part of the money goes to the stock market. This is called capital cover. This keeps the system stable.
More people shall pay into the pension fund. This includes self-employed people and civil servants. Mini-jobs shall also change. Many people fear age poverty. People in East Germany are worried.
Unions think the plans are bad. They say: Many people cannot work so long. This is a problem in hard jobs. Companies like the plans in part. They keep workers for a longer time.
