The Free Democratic Party (FDP) in Germany is calling for stricter measures for those who refuse to work and receive benefits under the Bürgergeld (citizen’s income) system. The party proposes a 30 percent immediate reduction in benefits for those who do not comply with their obligations or reject reasonable job offers. Currently, a tiered system is in place for benefit reductions, but the FDP believes it does not go far enough. The party aims to present these proposals at their upcoming party conference. However, the Social Democratic Party (SPD) has strongly opposed the FDP’s suggestions, labeling them as outdated and detrimental to the working population, claiming they go against the social principles of the constitution.
The Bürgergeld system came into effect on January 1, 2023, replacing the controversial Hartz-IV system. One of the key aspects of the reform was to reduce the severity of sanctions. The government aimed to focus more on cooperation with recipients rather than relying on punishment as a deterrent. The Union and especially the FDP have criticized this approach, leading to recent amendments allowing benefit suspension for up to two months for those who refuse to work. However, this measure is only applicable in cases of repeated refusal of suitable job offers, making the actual impact on recipients limited. The number of cases where benefits were reduced due to job refusal was 15,774 out of approximately 5.5 million Bürgergeld recipients in 2023, representing a small portion of the total eligible population.
Despite the decrease in the number of benefit sanctions, the FDP believes that stronger measures are needed to address those who persistently avoid work. The party’s proposal of an immediate 30 percent reduction in benefits for job refusers aims to close the perceived gap in the current system. However, critics from the SPD argue that these measures are outdated and do not align with the current socio-economic landscape. The SPD views the FDP’s proposals as harmful to workers and contrary to the principles of the constitution. The debate between the coalition partners highlights the tension between differing ideologies and approaches to social welfare policies in Germany.
The Federal Ministry of Labour and Social Affairs anticipates that the recent amendments to the Bürgergeld system will lead to cost savings and act as a preventive measure against benefit abuse. The ministry believes that the new regulations will encourage recipients to accept job offers and avoid sliding into or remaining in poverty. However, experts in the labor market express concerns about the effectiveness of these stricter measures. Enzo Weber from the Institute for Employment Research points out that identifying those taking advantage of the system is not always straightforward, implying that harsher sanctions may not necessarily lead to a significant increase in compliance. The effectiveness and efficiency of the proposed measures remain uncertain, highlighting the ongoing debate surrounding social welfare policies in Germany.
