German Union DGB Chief Fahimi Calls for Mandatory Workplace Pensions Amid Retirement Reform Debate

Yasmin Fahimi, chair of the German trade‑union federation DGB, criticised key proposals of the government’s retirement‑security commission. She argued against the removal of the “Rente mit 63” option, warned that raising the statutory retirement age would disadvantage workers with health issues, and said the idea of linking retirement to life expectancy – a so‑called “Rente mit 70” – is not a sensible solution.

Fahimi also advocated for a mandatory occupational pension system financed largely by employers, describing it as essential to protect retirees from old‑age poverty. The DGB proposal would integrate non‑tariff‑bound employees into existing schemes under low‑threshold conditions, without placing the full cost on workers. The FDP’s Bremen state chair Bettina Schiller rejected the plan, calling it economic nonsense that would add burden to firms already strained by high labour costs, energy prices and regulatory pressure. Finance Minister Christian Klingbeil, however, labelled the suggestion as “reasonable”.

The debate reflects broader tensions in Germany over how to sustain the pension system amid demographic change and fiscal pressures.