Friedrich Merz, the CDU chairman, has voiced concerns over the stability of the coalition negotiations with the SPD, primarily due to disagreements on fiscal policies. At the heart of the debate is the SPD's proposal to raise taxes, which Merz has firmly opposed, creating a tense negotiating environment. Despite these challenges, a tentative agreement was reached, with promises that citizens will experience the impact of the new government before the summer.
Merz has expressed skepticism about some elements of the coalition agreement, particularly the proposed tax cuts for small and medium incomes and the minimum wage increase to 15 euros by 2026. He argues that these measures depend heavily on the financial health of the state, casting doubt on their feasibility. The minimum wage hike remains uncertain, as it will be determined by the minimum wage commission rather than being automatically implemented.
As the coalition contract awaits approval from SPD members, Merz anticipates that the new government will take office by early May. However, concerns about the coalition's financial strategy persist, with experts warning of potential economic strain from rising social contributions and healthcare costs. These factors are prompting fears among workers that their net income might decrease by the end of the legislative period.
Amidst these negotiations, Merz has also highlighted the importance of effective coordination within the coalition, advocating for regular meetings to address disputes and ensure smooth governance. As the coalition prepares to tackle complex economic and social challenges, the need for unity and clear communication becomes ever more critical.
