Approved by the Cabinet: 23 legislations on pension benefits, transport tickets, and workforce composition involving black labor.
In a recent ministerial meeting held in Berlin, the focus was primarily on Germany's response to international security issues, rather than domestic reforms. Here's a roundup of the key decisions made:
- Weapons Exports to Israel: Germany announced a halt to weapons exports to Israel amid the escalating conflict in Gaza. The suspension of arms shipments that could be used in Gaza was implemented, while the country maintained its support for Israel's right to self-defense.
- Humanitarian Access in Gaza: The German government emphasized the importance of humanitarian access in Gaza and prioritized negotiations for ceasefire and hostage release.
Regarding domestic issues, no significant decisions or changes were reported in connection with the meeting concerning pension laws, gas prices, the Germany Ticket (public transport pass), nursing profession, black market work, retention periods, public contracts, or CO₂ storage policies.
Moving on to other domestic matters, here are some updates:
- The Germany Ticket: The nationwide valid local transport ticket, the Germany Ticket, is threatened with a price increase next year and additional costs.
- CO₂ Storage: The federal government aims to enable the underground storage of harmful CO₂ and expand a transport network for this purpose, primarily concerning industrial processes where CO₂ emissions cannot be avoided.
- Strengthening the Financial Control Authority: The Financial Control Authority will be strengthened in its fight against severe economic crime and organized crime. Improved digital networking and better data exchange between authorities are part of the plan.
- Identity Card Checks: Barbershops, cosmetics, and nail studios' employees will be required to have their identity cards for checks, similar to the construction and catering industries.
- Simplifying Nursing Processes: Nursing staff will have fewer forms and bureaucracy, allowing for more time with people in need of care.
- Pension Reforms: The improvements to pensions will be funded with billions in tax revenue, but employees and employers will also have to expect slightly higher costs: the pension contribution is to rise from the current 18.6 to 18.8 percent from 2027. The pension level is to be maintained at 48 percent, meaning pensions will be permanently slightly higher than without the reform.
- Independent Penalties: The Financial Control Authority will be able to independently penalize cases of fraud.
- Public Contract Awards: The awarding of public contracts will be made simpler, faster, and more digital.
- Credited Child-Rearing Time: Parents will receive three years of credited child-rearing time for children born before 1992 instead of the current two and a half years from 2027.
- Gas Storage Surcharge: A four-person household could save between 30 and 60 euros a year depending on consumption due to the exemption from the gas storage surcharge.
- Exemption from Gas Storage Surcharge Costs: The federal government has initiated plans to exempt companies and consumers from the costs of the gas storage surcharge, providing relief of around 3.4 billion euros.
- Nursing Staff Competencies: Nursing staff will gain more competencies in patient care, including treating wounds and diabetes.
The federal government has put nearly two dozen bills on the agenda for debate in the Bundesrat and Bundestag. The recent meeting chaired by Federal Chancellor Friedrich Merz, despite originally planning to be on vacation, underscores the ongoing commitment to addressing both international and domestic issues.
[1] [Source 1] [3] [Source 3]
- In addition to international matters such as the weapons export to Israel and humanitarian access in Gaza, the German government also announced plans to strengthen the Financial Control Authority as part of its focus on battling economic crime and organized crime, which falls under the domain of financial and business politics.
- On the domestic front, while there were no significant decisions regarding international security issues like pension laws, gas prices, black market work, retention periods, public contracts, or CO₂ storage policies made in the recent ministerial meeting, the federal government did propose higher pension contributions from 2027, solidifying its stance on pension reforms in the realm of general news.
