German retirees to get hefty pension increase in July

BERLIN (AP) — The German government says retirees will get a hefty pension increase this year, a result largely of higher wages in Europe’s biggest economy as inflation has climbed sharply. The Labor Ministry said Tuesday that pensions will increase by 5.35% in the former West Germany on July 1 and by 6.12% in the formerly communist east. Labor Minister Hubertus Heil said that, “because we managed in Germany to keep the labor market stable in the (coronavirus) crisis,” the financing of the pension system is in good shape and the big increase is possible.