New rules reversing reforms of Germany’s statutory pension system took effect on 1 July 2014. Some critics estimate that these more generous pension rules will cost an extra €10 billion over the next decade, and younger workers will have to fund them with little chance of receiving equally generous benefits when they retire.
The level of statutory pensions for future generations is set to decline systematically. If future retirees are to maintain their standard of living, they will therefore need to supplement their statutory benefits with private and occupational pensions – a ...
The principle behind Germany’s statutory health insurance (SHI) system, into which all employees up to a certain income threshold are obliged to pay a per¬centage of their earnings, is one of solidarity.