Nils Goldschmidt, Director of the Global Ethic Institute at the University of Tübingen, is calling for greater appreciation of the younger generation and their achievements. The debate about supposedly “lazy youth” flares from time to time – most recently with renewed vigour. However, current scientific findings clearly contradict this image: young adults are not working less, but more – and they are carrying an ever-increasing financial burden in order to support the social security system.
According to a recent study by the Institute for Employment Research (IAB), the labour market participation of 20 to 24-year-olds has risen by more than six percentage points since 2015. It now stands at 76 per cent. What is particularly striking is that employment is also rising continuously among students. ‘These figures paint a different picture to the cliché of the work-shy Generation Z,’ says Goldschmidt, who is also a member of the German Ethics Council. A growing imbalance can also be seen in the financing of social systems. While the so-called boomer generation is increasingly drawing from the social systems, young workers have to pay in significantly more than previous generations.
A study by Martin Werding, member of the German Council of Economic Experts, does the maths: Someone born in 2020 will pay around 55.6 per cent of their income in social security contributions over the course of their lifetime – compared to just 39.4 per cent for someone born in 1960. “The intergenerational contract is in danger of becoming unbalanced. Anyone who accuses young people today of being ungrateful or unwilling to work is ignoring this reality – and fails to recognise the extent to which young people are supporting the system from which many older people are now benefiting,” Goldschmidt continues.
At the same time, many young people are trying to establish new working models – with more flexibility, a better work-life balance and the desire to participate despite growing burdens. This is not a sign of complacency, but an expression of a legitimate attempt to lead a self-determined life under difficult conditions. The often invoked hope of the parents’ generation that their children will one day have a better life cannot be realised under the current conditions. “Instead of mutual recriminations, we need a new, honest dialogue between the generations – based on facts, mutual respect and a clear view of economic reality. And we urgently need a new, realistic understanding of intergenerational solidarity,” says Institute Director Goldschmidt.
