Germany is short of skilled workers. The retirement of many baby boomers will exacerbate these problems. The government has taken measures to facilitate selective immigration, but this will not be enough. Another option is to increase work incentives, particularly with tax breaks or reduced charges. The Council of Ministers is to adopt measures in this direction this morning.
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With our correspondent in Berlin, Pascal Thibaut
” Work more to earn more “: this is the carrot that the German government wants to offer. The first group targeted, retirees who decide to work, will receive more in the future for the same activity. The retirement and unemployment contributions that their employers must pay will in future be paid to them with their salary, i.e. 250 Euros more per month according to the government. These people could also benefit from a tax-free retirement deferral bonus.
This retiree welcomes these new measures: “ I think this is a good thing, especially for people who don’t want to go from active life to complete inactivity overnight. “.
The number of retirees who have a traditional job has increased by 40% in five years.
Added to this group are those with a mini-job that is tax-efficient. Some people want to stay active, others have no choice, as this retiree believes: ” They do this because pensions are too low. Quite simply. And because Germany is short of workers. “.
Another idea from the government: exempt overtime from taxes. A proposal whose effects would be minimal according to experts.
Penalties for welfare recipients who refuse a job offer will be toughened.
Another resource is better childcare to enable German women to work full-time more easily.
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