New citizens' money: Merz is planning drastic changes to job placement!

New citizens' money: Merz is planning drastic changes to job placement!

The Merz government has ambitious plans to integrate citizens' benefit recipients into the labor market more quickly. One of the key measures is to tighten sanctions for unemployed people who do not accept job offers. This is happening against the background of a tense economic situation, which has resulted in an increase in the number of citizens' benefit recipients. Expenditure on citizens' money is expected to increase by around 5 billion euros to a total of around 52 billion euros in 2025 fr.de reported.

Funding for job centers will also be significantly increased, with a draft budget earmarking €9.35 billion for these facilities. Nevertheless, the integration into work is budgeted at 4.1 billion euros - 50 million euros less than last year. Administrative costs will increase by 200 million euros to a total of 5.25 billion euros, which illustrates the challenge of financing.

Demands for further training

A large proportion of those receiving citizen's benefit, around two thirds, do not have a professional qualification. In the current labor market situation, which is primarily looking for skilled workers with completed vocational training, many of those affected see the need for further training opportunities in order to improve their prospects. The situation is particularly tense in the Aachen job center: over 11% of the population there receives citizen's benefit, while the national average is over 8%. Job center employee Tatjana Salomo criticizes the negative perception of citizens' benefit recipients in society and emphasizes that not all people are able to work.

The discussion about job placement strategies is also led by those affected themselves. While Darian Nabo supports the call for tougher sanctions and calls for personal responsibility, Michael Hupertz expresses concerns about the possible consequences of these measures. He himself has a job lined up and could soon be able to get out of receiving community benefit.

Challenges and solutions

Stefan Graaf, managing director of the Aachen Job Center, states that job refusers only make up 2-4% of citizens' benefit recipients. Nevertheless, a lack of adherence to deadlines and willingness to cooperate is an unsolved problem for some beneficiaries. In addition, job centers have to pay out more passive benefits, so that 42.6 billion euros are expected for these expenses in 2025.

The planned investments to improve placement include, among other things, 700 million euros for participation in the labor market and 450 million euros for job-related German language support. From 2026 onwards, an annual increase in the budget of one billion euros is planned in order to respond to the increasing needs of those receiving citizens' benefit.

Overall, however, the Merz government's plans are not without controversy. Bernd Fitzenberger, director of the Institute for Labor Market and Occupational Research, emphasizes the tense economic situation and the rather limited job offers for low-qualified recipients of citizens' benefit. It remains to be seen whether the new measures will bring the desired results and to what extent those receiving citizens' benefit can benefit from the planned changes tagesschau.de reported.