The Schröder administration faced a difficult balancing act with
Agenda 2010: while advocates of a neoliberal transformation of society
(including business leaders, the FDP, and most CDU/CSU members) felt
that the reforms didn’t go far enough, the traditional supporters of the
social welfare state (trade unions and many left-wing members of the
SPD), regarded the reforms as unjust and perceived them as an affront.
On September 22, 2003, the Federation of German Industries
[Bundesverband der deutschen
Industrie or BDI] hosted a “reform conference” for about 1,000
participants in Berlin. The federation spoke out in favor of
accelerating the restructuring process. Its reform concept, entitled
“For a More Attractive Germany,” included the following proposals: state
concentration on core tasks, the consolidation of financial policy, a
growth-oriented tax policy, greater personal responsibility in the
social welfare system, the deregulation of the labor market, investment
in Germany’s future viability, the reduction of bureaucracy, and a
“reform convention” for Germany. When BDI conference participants
proceeded to the House of the German Economy, they were confronted by
demonstrators who held up a banner reading: “Drastic cuts in social
welfare are nothing more than a reform logjam for capitalists – when
will they be satisfied?” The photograph shows members of the BDI
standing behind the demonstrators’ banner.
Protest on the Sidelines of the BDI Congress (September 22, 2003)