Pension crisis in old age: urgent reforms required!

Pension crisis in old age: urgent reforms required!

In Germany, the number of pensioners who rely on basic security increases dramatically. The current statistics show that in 2024 the highest level of primary pensioners in history has been reached. This is a worrying development that not only puts pressure on the data subjects, but also the entire social system. What is behind this increase and what causes can we find for it?

The German pension insurance pointed out this problem and explained the reasons for this. A new allowance regulation has been in effect since the basic pension came into force in 2021. This regulation enables people over the age of 67 who need financial support to benefit from basic security. In particular, those who have paid 33 years or more contributions to pension insurance but only receive minor pensions can make use of an annual allowance. That sounds positive at first and offers many the help they urgently need.

causes of the growing need for social welfare

Nevertheless, a different picture is shown: a constant increase in the beneficiaries does not necessarily mean an improvement in living conditions. Fewer and fewer people, especially women, can actually live on their pension. They are therefore dependent on social assistance to contest their everyday life. The increase in social welfare rates is therefore an alarming sign that indicates structural deficits in the pension system. It becomes clear that the existing pension system is not sustainable and urgent reforms need to be needed.

The discussion about the necessary reforms is long overdue, especially in the light of demographic change in Germany. More and more people are reaching retirement age, while the number of contributors is falling. This imbalance cannot be ignored because it has far -reaching consequences for the entire society and the social security system. The pressure on the legal pensions is great, and the situation will continue to worsen without comprehensive reforms. It is obvious that the previous measures, including pension package II, are not sufficient to master the upcoming challenges.

Social security for the pensioners is a social task that needs to be taken seriously. Developments in recent years are a clear indication that there is an urgent need for action. Without fundamental changes in the pension system, it is hardly to be expected that the situation for many seniors who have to live on basic security today. The time for a large pension reform has come.