Merz Opens Door to Basic Income as AI Threatens 800,000 German Jobs
Updated
Updated · DW (English) · Nov 15
Merz Opens Door to Basic Income as AI Threatens 800,000 German Jobs
1 articles · Updated · DW (English) · Nov 15
Summary
Friedrich Merz said Germany must seriously consider universal basic income as AI reshapes work, a notable shift for a chancellor who has pushed longer working lives and tougher sick-leave rules.
Andrea Nahles, head of the Federal Employment Agency, warned this week that AI could eliminate up to 800,000 jobs in Germany over 15 years, even if a similar number eventually emerges.
Karsten Wildberger, Germany's digital transformation minister, has also argued an unconditional basic income could help cushion labor-market upheaval, while campaigners said Merz's remarks warrant a real policy debate.
German economists remain split: the IW's Dominik Enste called UBI fiscally unrealistic, while Oxford economist Maximilian Kasy said it could work if funded progressively and paired with broader social-security reform.
The debate reaches beyond Germany as the IMF estimated in 2024 that AI would affect 40% of jobs globally and 60% in advanced economies, intensifying questions over who gains from productivity growth.