Germany needs to face up to a new age-old problem

The country’s proposals to water down previously implemented pension reforms are negligent, writes Michael Heise

RECORD levels of migration to Germany over the last two years have called into question the country’s demographic projections. But Germany’s rapid shift to a more favourable profile is not a reason to postpone politically painful policy decisions about retirement and pensions.

At the beginning of this century, it was forecast that Germany would lose more than 10m inhabitants by 2050, owing to declining immigration and a low average birth rate. Today, population projections are brighter. According to the government’s latest calculations, Germany’s population could remain above 80m until 2060, and the reduction in the labour supply might not be as drastic as was previously feared.