It is a central project of the ruling Traffic Light Coalition and is intended to replace the previous Hartz IV system to support the long-term unemployed.
On 1 January, basic insurance benefits will increase by more than 50 euros. Single people will receive 502 euros in the future. Important parts of the reform will come into force on 1 July. The job centers must be able to better accommodate the unemployed. The placement in permanent work instead of simple auxiliary jobs must be better than before.
To this end, those affected must be further qualified or undergo training or retraining. In addition, recipients of basic security can earn more in the future – for example with a mini-job.
Friday’s resolutions were preceded by a conciliation process by the Bundestag and the Bundesrat. The Christian Democrats had rejected the original plans of the traffic light coalition. The CDU and CSU complained that the unemployed were not encouraged enough to participate. They no longer felt that the balance between support and demands was maintained. In the Federal Council, citizens’ incomes fell first.
Under pressure from the trade union, the possible sanctions for dereliction of duty have been tightened, contrary to the original draft of Minister of Labor Hubertus Heil (SPD). As early as January, such reductions in civilian income have been staggered and possibly up to a maximum of 30 percent if the unemployed, contrary to the agreements, do not apply for a job or take a measure, for example for qualification.
Those affected may also keep slightly less money they saved than originally planned. This so-called protection power amounts to 40,000 euros in a “waiting period” of one year. Other people in a so-called community of needs may each keep 15,000 euros. Retirement provision and housing will initially remain largely untouched.
In the German Bundestag, 557 MPs voted for the amendments approved by the Bundestag and the Bundestag’s Conciliation Committee. An informal round of the traffic light coalition and the Union negotiated the compromise. The right-wing populist AfD therefore criticized the procedure as unconstitutional. Finally, the citizen surcharge was given the green light in the Bundesrat.
(SDA)