Contentious Coalition Disagreement Regarding Training Fee - Training alliance breakdown
Let's cut the crap and get to the heart of the matter. Berlin's Labour and Social Affairs Senator, Cansel Kiziltepe (SPD), is causing a stir by proposing a so-called training place levy on employers, igniting a heated coalition clash. The Mayor, Kai Wegner (CDU), ain't having it, calling it an unwarranted financial burden for companies during these tough economic times.
“It’s not the right moment to slap businesses with an extra financial burden as a training fee,” Wegner declared. “I beg all parties to prioritize creating more training places instead.” The levy, it seems, is part of the CDU-SPD coalition agreement, but Wegner ain't saying squat about it.
Getting Down to Business
Kiziltepe already announced that if the coalition fails to meet the target of 2,000 additional training places by 2025, a bill introducing the training place levy is ready to roll. A massive participation process has commenced, according to our sources.
The idea here is that all employers cough up a certain fee based on their wage costs into a "training fund." Companies that offer and fill training positions receive a chunk of this cash to help cover training costs for young folks. The payouts to companies are set to be higher than what they fork over to the fund.
Kiziltepe wants more training places
It's all about incentivizing companies to invest in training, says Kiziltepe. "We want to reward those companies that engage and motivate the ones that haven’t yet invested in training to reconsider," she expressed.
There are plenty of gray areas in this proposal. The economy warns of another burden to business amid challenging times. Union Verdi, on the other hand, is pushing for swift implementation.
Coalition agreement 2023
Remember back in 2023 when the CDU and SPD decided to establish 2,000 permanent additional training places in Berlin by 2025? Well, if they can't make it happen, the levy kicks in.
To meet their goal, a coalition for training was formed in August 2023 and set the target at 34,835 training places by December 31, 2025. Yep, that's a pretty hefty number.
Ain't no training places in sight
Will they make it? Time will tell. But experts say it's highly unlikely. Kiziltepe is stepping up efforts to set the stage for the training place levy, hoping it'll pass as law before the end of the legislative period in 2026.
The Senator talks about a lopsided training place market that needs fixing. In Berlin, there are only 72 training places per 100 applicants — the capital is rock-bottom on the national rankings. Only about 11% of companies still offer training.
“Something’s gotta change in Berlin. It’s essential to provide young people with a solid start in their careers — and address the skills shortage,” said Kiziltepe.
Business Associations' Response
The Association of Business Associations in Berlin and Brandenburg (UVB) ain't buying it. CEO, Alexander Schirp, called it an unnecessary economic stimulus package for bureaucrats. "It won't create a single additional training position, but it will cause a lot of frustration and burden for employers," Schirp explained.
Union Verdi, however, thinks now's the prime moment to push the bill forward. They believe it's essential to tackle the skills shortage swiftly.
In this cat-and-mouse game, who'll come out on top? Keep an eye on Berlin politics — it's gonna be a thrilling ride.
Keywords:- Training place- Cansel Kiziltepe- Coalition dispute- Berlin- SPD- Employers- Kai Wegner- Cooperation agreement- CDU- United Services Trade Union- Skills shortage
- Kiziltepe's proposal for a training place levy on employers is causing a heated dispute within Berlin's CDU-SPD coalition, with Wegner arguing against it as an unwarranted burden during tough economic times.
- If the coalition fails to meet the 2025 target of 2,000 additional training places, Kiziltepe plans to introduce the training place levy to incentivize companies to invest in training and address the skills shortage.
- The levy would establish a "training fund" where employers would contribute based on wage costs, with companies receiving higher payouts for covering training costs for young folks.
- Union Verdi is pushing for swift implementation of the levy, while the Association of Business Associations in Berlin and Brandenburg (UVB) argues it is an unnecessary economic stimulus that won't create additional training positions.
- Kiziltepe emphasizes the need to improve the training place market in Berlin, with only 72 training places per 100 applicants and only 11% of companies offering training, stating that it is essential to provide young people with a solid start in their careers.