Rent values in East and West Germany to be equalized

In a significant development, the pension values in East and West Germany will be equalized starting from July. This achievement comes a year earlier than originally planned, signifying a major step towards harmonizing the retirement system in the country.

As a result of this equalization, pensioners in both regions will receive the same level of retirement benefits, bringing greater fairness and parity to the German pension system. This decision aims to bridge the gap between the pension values that had previously been different in East and West Germany.

Furthermore, several other important reforms and improvements are being introduced in various sectors:

  1. Enhanced Benefits and Stable Finances in Long-term Care:
    • The statutory long-term care insurance will undergo a comprehensive reform.
    • Effective from January 1, 2024, the care allowance and outpatient benefits will be increased by five percent.
    • Additionally, from January 1, 2025, and January 1, 2028, the cash and in-kind benefits will be automatically adjusted based on price developments.
    • To support these changes, the contribution rate to long-term care insurance will increase from 3.05 percent to 3.4 percent of the gross income from July 1, 2023, with slightly higher rates for individuals without children.
  2. Improved Protection for Whistleblowers:
    • To encourage reporting of misconduct, measures have been implemented to enhance the protection of whistleblowers.
    • Employees in companies and public institutions who uncover wrongdoing will receive stronger legal safeguards, ensuring their safety and supporting the exposure and prevention of unlawful activities.
  3. Easier Access to Medications through E-Prescriptions:
    • Insured individuals can now conveniently obtain medications using e-prescriptions.
    • By utilizing their electronic health card (eGK), patients can easily redeem their prescriptions at pharmacies, alongside the traditional methods of using apps or paper prescriptions.
  4. Stricter Measures to Curb Deforestation:
    • To combat deforestation, regulations have been established to ensure transparent and traceable supply chains.
    • This initiative aims to halt the sourcing of raw materials from deforested areas, allowing consumers to make informed choices and support sustainable products.
  5. Streamlined Implementation of Intelligent Electricity Metering Systems:
    • The installation process for intelligent electricity metering systems will be made more efficient and less bureaucratic.
    • These systems enable efficient energy usage and alleviate strain on the power grid, contributing to a more sustainable and reliable energy infrastructure.

Germany’s efforts to equalize pension values and implement various reforms across sectors demonstrate the government’s commitment to ensuring fairness, improved social protection, and sustainable practices for the benefit of its citizens.

https://www.bundesregierung.de/breg-de/aktuelles/gesetzliche-neuregel-juli-2023-2198824


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