Drägerwerk chief Stefan Dräger warns against sudden policy reversals, praises pension reform
The head of the family-owned medical and safety technology company says entrepreneurs can adapt, but abrupt U-turns undermine credibility and competitiveness.
Sudden policy reversals
Stefan Dräger, the sixth-generation head of Drägerwerk, cautioned that while businesses can adjust to new rules, abrupt changes are damaging. He recalled former chancellor Angela Merkel's emphasis on continuity, noting she often felt bound by her predecessors' decisions even when she disagreed. The current government's inclination to reverse earlier policies is psychologically problematic, he said.
Flip-flopping is really bad.
He pointed to the back-and-forth over the combustion engine ban as a case that severely diminished German credibility in Brussels and hurt the competitiveness of the country's auto industry.
Pension reform welcomed
Dräger singled out one government measure for praise: a rule allowing retirees to earn up to 2,000 euros on top of their pension. His own company is seeing more and more pensioners take advantage of the opportunity.
That is an improvement that we like to use. The need is increasing.
Bureaucracy's human side
Despite frequent complaints about red tape, Dräger offered a nuanced view of German officialdom. The people working in public authorities are mostly well-meaning, highly committed, and genuinely trying to make things better, he said. At the same time, he accused Berlin of sending officials to Brussels specifically to obstruct deregulation efforts, calling it harassment paid for with German taxpayer money.
Rethinking the work-life arc
Dräger, 63, argued for a more flexible approach to careers and retirement. He advocates taking a sabbatical or reducing hours in one's mid-50s, then working beyond the statutory retirement age, up to 70. Because retirees no longer pay social security contributions, they keep more money, and employers also save, he explained. The debate about working hours and pensions is fully justified, he added.
I myself advocate taking a break or reducing hours in your mid-50s and, in return, continuing to work until 70 after reaching the statutory retirement age. That benefits everyone: retirees no longer have to pay social security contributions, so they have more money in their pockets, and the employer saves too. There is more potential there.
