Labor market: Cabinet initiates tightening of citizens’ benefits

Labor market: Cabinet initiates tightening of citizens’ benefits

Citizens’ money is probably the biggest social reform of the traffic light. But many consider it too generous. Now the rules are to be tightened.

Citizen benefit recipients will soon have to expect higher penalties if they refuse to work. The federal cabinet introduced corresponding tightening measures. Anyone who refuses reasonable work, training or measures without a good reason will in future immediately have to expect a more significant reduction in basic income of 30 percent for three months.

Citizens’ benefit recipients who have done undeclared work should also have their benefits reduced. The job centers should be obliged to report undeclared work to the customs administration. Labor Minister Hubertus Heil (SPD) said that anyone who doesn’t go along or cheats through undeclared work “must expect harsher consequences.”

The changes still have to be approved by the Bundestag in the usual legislative process and are expected to come into force at the turn of the year.

Q&A about citizens’ money

Source: Stern

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