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Germany Passes Controversial Pensions Bill Amid Young Conservatives' Rebellion

12/6/2025

Summary

Story summary

Germany's Parliament passed a contentious pensions bill 319 votes to 225, despite a rebellion by younger conservatives.
Chancellor Friedrich Merz faced criticism that the bill burdens future generations by keeping pensions at 48% of average income until 2031.
Die Linke abstained to facilitate passage after the youth faction argued the plan is financially unsustainable.
The reform allows retirees to earn up to €2,000 monthly tax-free to boost labor supply.

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Story summary

Germany's Parliament passed a contentious pensions bill 319 votes to 225, despite a rebellion by younger conservatives.
Chancellor Friedrich Merz faced criticism that the bill burdens future generations by keeping pensions at 48% of average income until 2031.
Die Linke abstained to facilitate passage after the youth faction argued the plan is financially unsustainable.
The reform allows retirees to earn up to €2,000 monthly tax-free to boost labor supply.