Germany is looking at a new mandatory pension contribution that would funnel billions into capital markets as part of a broad effort to shore up the country’s retirement system.
The measure is part of a reform agenda that will overhaul Germany’s social welfare system. Chancellor Friedrich Merz, receiving proposals presented by a commission alongside Social Democratic Labor Minister Bärbel Bas, accepted the full slate of pension measures, which also include a gradual increase in the retirement age and tighter rules on leaving the workforce early.