DGB boss Yasmin Fahimi has criticized the abolition of parental allowance for citizens with high incomes planned by Family Minister Lisa Paus (Greens). “This is nonsense and shows where the federal government’s self-imposed austerity measures are leading,” Fahimi told the “Bild am Sonntag”.

“Parental allowance is a very successful instrument for equality between mothers and fathers. Questioning that only creates uncertainty,” said Fahimi. “The government is sending the signal that the promised state support cannot be relied on.”

This is poison for social cohesion and political stability, said the chairwoman of the German Trade Union Confederation (DGB). “Uncertainty only creates space for the populism of the AfD.” Fahimi used to be SPD general secretary and then state secretary in the Federal Ministry of Labor.

Fahimi: Cuts create uncertainty

So far, parental allowance has been given to couples whose joint taxable income is less than 300,000 euros. Because of the savings requirements of Finance Minister Christian Lindner (FDP) for the federal budget for 2024, Family Minister Paus wants to lower the limit to 150,000 euros.

Fahimi accused the red-green-yellow federal government of Chancellor Olaf Scholz (SPD) of unsettling people. “Not only low earners, but also normal employees are increasingly unsure how to plan their lives.”

Uncertainty at work has been around for a long time because the economy is in a state of upheaval. “But now the uncertainty is penetrating life even more deeply: Can I continue to rely on parental allowance? Can I rely on my pension entitlement? How will the state help me to convert my heating system?” In view of this, the government is not well advised to save on the social flank, said the DGB boss.