ifo Institut kritisiert Bericht der Renten-Kommission
The ifo Institute has described the results of the Pension Commission as insufficient. “The Commission has clearly shown that the financing of the statutory pension is not secure in the long term. However, it does not draw any further conclusions from this finding,” says Joachim Ragnitz, Managing Director of the ifo Institute’s Dresden Branch. “It leaves the development of solutions to the financing gap to a yet-to-be-established pension advisory board.”
In particular, it puts off to 2026 at the earliest a decision on whether a further extension of working life is necessary. “In view of demographic developments, there is no way that the concept of binding stop lines for pension levels and contribution rates can be maintained without massive additional payments from the federal budget,” Ragnitz continued. “To limit the burden on taxpayers and contributors, sooner or later pension entitlements will have to be reduced, either by lowering the pension level or by pushing back the retirement age.”
