Germany’s 21 million retirees heard better news from the Ministry of Labor on Tuesday: pensions will rise significantly more than was estimated in November.
The reason for the exceptionally high increase is the country’s favorable wage development. Germany is working to ensure that pensions rise at the same pace as general wage levels.
Even more than 30 years after German reunification, income disparities between the former East German region and the West are clearly visible. It is also reflected in pensions.
German women have been weak in their old-age security. In the eastern part of the country, the average pension is € 710, and in the west, € 1,023.
Germans retire at an average age of just over 64.
“Our pension system works”
“This is good news for the people who have kept our country afloat for years,” said Minister Heil.
According to Heil, the increase now shows that Germany has a functioning pension system.
As late as last November, the Ministry of Labor estimated that the increase in pensions would be 4.4 per cent.