BERLIN, Nov 13: German Vice-Chancellor Franz Muentefering, the top Social Democrat (SPD) in Angela Merkel’s government, is resigning for family reasons in a move that is likely to increase tensions in Berlin’s ‘grand coalition’.
Muentefering, who famously labelled foreign investors ‘locusts’ in 2005, is also stepping down from his separate post as labour minister, setting the stage for a minor reshuffle of Chancellor Merkel’s cabinet.
Party sources said Foreign Minister Frank-Walter Steinmeier, who has emerged as a force within the SPD over the past two years, would take Muentefering’s place as vice chancellor, the number two government post after Merkel. Olaf Scholz, a leading member of the SPD in parliament, is pegged to become labour minister.
Muentefering was a stabilising influence in the awkward coalition of conservatives and SPD that was forced upon Merkel following her narrow election victory two years ago.
As such, his departure represents a setback for Merkel, who worked well with the cigar-smoking political veteran, and sets the stage for a more confrontational SPD within her government in the run-up to key state elections next year and a federal vote in 2009.
“Up until now, Muentefering was the one who guaranteed that the coalition held together,” said Gerd Langguth, a political scientist at Bonn University, and biographer of Merkel.
Muentefering’s wife Ankepetra has been seriously ill with cancer and he missed a key coalition meeting last week because of her condition. He called a news conference in Berlin for 4:30pm (1530 GMT).
“Franz Muentefering will resign his positions as labour minister and vice-chancellor due purely to family reasons,” Stefan Giffeler, a Labour Ministry spokesman, said.
Muentefering, 67, was a close ally of former Chancellor Gerhard Schroeder, from whom he took over the leadership of the SPD in early 2004.
He gave up that post less than two years later after clashing with leftists in his party.
Muentefering has had a relatively low profile in Merkel’s government and been accused by some in his party of being too accommodating with the conservative chancellor.
He clashed with party leader Beck last month, openly criticising his proposal to unwind key aspects of Schroeder’s labour market reforms. Muentefering lost that battle to Beck and this may have contributed to his decision to step aside early.
Muentefering is best known abroad for his attack on foreign investors in 2005. He likened them to ‘Heuschrecken’, or locusts, saying they chewed up companies for profit before spitting them out and moving on.
The comments made headlines abroad and alarmed the corporate world, but analysts here saw the comments mainly as a device to bring back SPD voters disillusioned by the party’s shift to the right under Schroeder.
While Muentefering’s departure appears to strengthen Beck, it also puts the white-haired, bespectacled Steinmeier – Beck’s only serious rival in the race to challenge Merkel in 2009 – in the coveted position of vice chancellor.—Reuters