Court bans Germany鈥檚 stay-home parent perk
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Germany鈥檚 Constitutional Court has ruled that a benefit for parents who stay home to look after their small children is illegal, dealing a blow to Chancellor Angela Merkel鈥檚 Bavarian sister party which championed the policy.
More than 455,000 parents, mostly women, who care for their 1- or 2-year old children at home claim the 鈥渉earth bonus鈥, worth 150 euros (US$165) per child per month. It was introduced two years ago under Merkel鈥檚 previous coalition with the Free Democrats.
The parties in Merkel鈥檚 current right-left coalition are already bickering about how to replace the benefit, which yesterday鈥檚 ruling forces the government to abolish.
It is the second setback within two months for Bavaria鈥檚 Christian Social Union after the European Commission raised objections to plans to charge foreign drivers for using Germany鈥檚 Autobahn motorways which the party had advocated.
The CSU, which has also held up plans to build a much-needed high-voltage power grid due to local concerns, is struggling to get its voice heard in a coalition with Merkel鈥檚 bigger Christian Democrats and the Social Democrats.
The predominantly Catholic CSU had pushed for the 鈥渉earth bonus鈥 after Germany hiked funding for childcare places and introduced more generous maternity and paternity leave.
CSU chief Horst Seehofer vowed yesterday to continue with the benefit in the affluent southern state. 鈥淚n Bavaria, in any case, we will still have the benefit for parents who stay at home.鈥
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