German union slams tax system for widening inequality between workers and the wealthy
Leipzig-Halle-Dessau Food, Beverage, and Hospitality Union (NGG) Warns: Current Policy Deepens Social Divide
The Leipzig-Halle-Dessau branch of the Food, Beverage, and Hospitality Union (NGG) has issued a stark warning: Germany's current political direction is driving a wedge through society. While working people are being increasingly "fleeced," the gap between them and top earners continues to widen relentlessly. Nowhere is this divide more visible than in Halle (Saale), where 42 income millionaires stand in stark contrast to roughly 102,300 employees in trades, industry, and services. The union cites figures from the State Statistical Office of Saxony-Anhalt and the Federal Employment Agency.
The NGG Leipzig-Halle-Dessau is sounding the alarm over a social imbalance that is "tearing apart the fabric of society." While a large portion of the population struggles to afford rent, fuel, and groceries despite working full-time, a tiny elite effortlessly grows its wealth through stock market gains and dividends. Society, the union warns, is increasingly coming unhinged as a result.
Christian Ullmann, managing director of NGG Leipzig-Halle-Dessau, pulls no punches: "This isn't about envyāit's about the broad majority shouldering the heaviest burdens while those in the 'golden tier' contribute almost nothing. When hardworking employees are left behind, it fuels the far right and ultimately endangers our democracy."
The list of burdens on working people is longāand current policies are only making it worse. An average couple pays around 43 percent of their income in taxes and social contributions, while capital gains are often taxed at a flat rate of just 25 percent. "In other words, labor is taxed far more heavily than wealth. That's tax madness," Ullmann says. The union leader also demands urgent reform of inheritance tax, pointing out that inheritances and wealth currently account for just 1.1 percent of total tax revenue.
The NGG is calling on lawmakers in the governing CDU-SPD coalition to make a radical policy shift. Reforms in taxation, pensions, and healthcare must not widen the gap between rich and poor. A higher top income tax rate and fairer wealth distribution, the union argues, should no longer be off the table. Additionally, NGG Leipzig-Halle-Dessau urges the coalition to "have the courage to abolish joint spousal taxation," which often makes jobs less attractive for women and perpetuates outdated gender roles.