Axel Weber, the Chairman the the Bundesbank, said Sarrazin had caused “considerable damage” to the organisation’s reputation.
There have now been demands for the executive board member to quit.
A resignation would be the easiest way for the Bundesbank to solve its image problem, especially since his contract doesn’t expire until 2014.
But a potential dismissal is not simple. Members of the Bundesbank’s board of directors can only be dismissed by the German President, so Sarrazin’s job looks safe – unless the bank’s management can convince President Horst Köhler otherwise.
In the controversial interview, Sarrazin said that 20 per cent of the population of Berlin were economically unnecessary.
“A large number of Arabs and Turks in this city, whose numbers have grown thanks to the wrong policies, have no productive function except selling fruit and vegetables.”
http://www.bild.de/BILD/news/bild-english/world-news/2009/10/05/thilo-sarrazin/may-quit-german-bundesbank-over-berliner-remarks.html