The CDU party congress in Stuttgart discussed key policy proposals including tax reforms, phone sick notes, and part-time regulations, though not all are likely to be implemented due to potential opposition from the SPD.
At the CDU party congress held in Stuttgart on Friday and Saturday, delegates deliberated on a range of substantive proposals impacting employees. Key resolutions included an increase in the threshold for the top income tax rate, the discontinuation of telephone sick notes, and the reorganization of part-time work regulations. However, several initiatives may struggle to be realized owing to potential resistance from the coalition partner, the SPD.
One notable topic at the congress was the top income tax rate, with the coalition agreement between CDU/CSU and SPD offering limited clarity on income tax policy. The agreement mentions a planned reduction in income tax rates for small and medium incomes to take effect midway through the legislative term, implying that a law would need to be drafted this year for implementation starting in 2027. This lack of detail ignites debate within the coalition, especially concerning what constitutes 'small and medium incomes.'
As financial minister Lars Klingbeil (SPD) is currently developing a proposal, the discussions highlight the importance of consensus between the CDU and SPD on fiscal matters. The potential for friction over tax policies indicates the complexities of coalition governance in Germany, suggesting that the resolutions made at the CDU congress could have significant implications for employee rights and labor market conditions, pending successful negotiations with their partners in government.
