Enter multiple symbols separated by commas

Merkel Says Early Retirement Could Tackle EU Youth Unemployment

German Chancellor Angela Merkel, speaks in front of a flag of the European Union
Sean Gallup | Getty Images
German Chancellor Angela Merkel, speaks in front of a flag of the European Union

German Chancellor Angela Merkel suggested on Monday the European Union should finance early retirement schemes as a way of combating high youth unemployment.

The EU has earmarked 6 billion euros from 2014 to reduce youth unemployment, which has soared in austerity-hit southern states and has hit 59.3 percent in Greece.

Merkel said: "wouldn't it be better to do what we did in Germany, and have an early retirement scheme for a few years?"

(Read More: Merkel Ally Says France Is 'Problem Child', Must Save More)

Such schemes could be combined with regulations obliging firms to employ younger people, and could be preferable to creating state-financed positions, she said. Just such a program was criticized in Germany, however, as expensive.

Contact Europe News


    Get the best of CNBC in your inbox

    Please choose a subscription

    Please enter a valid email address
    To learn more about how we use your information,
    please read our Privacy Policy.

Europe Video

  • The boom in online ads

    Eleni Marouli, senior analyst at IHS, explains what has driven the growth in online advertising and spending.

  • European shares close lower as Greek vote eyed

    European equities closed lower on Friday as investors looked ahead to Sunday, when a referendum that could affect Greece's future in the euro zone will take place.

  • Limited contagion risk from Greece?

    Stephen Macklow-Smith, European equities portfolio manager at J.P. Morgan Asset Management, discusses European stocks after the market's worst week this year.