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Citizens' allowance: Mediation committee agrees on replacing Hartz IV

2022-11-23T19:43:40.613Z


First, the Federal Council blocked the plans for citizens' income, now the state chamber and parliament came together in the mediation committee. The way for the traffic light coalition's social reform is now clear.


Enlarge image

Citizens' income will replace the Hartz IV system at the turn of the year (symbol image)

Photo: Karl-Josef Hildenbrand / dpa

After negotiations in the Mediation Committee, the Bundestag and Bundesrat have agreed on a compromise for citizen income.

This was reported by several news agencies, citing groups of participants.

The previous Hartz IV system is to be replaced with the comprehensive social reform of the traffic light coalition.

The compromise solution in the committee was necessary because the law requires approval and cannot be passed without the Bundesrat.

In the state chamber, however, the federal states with government participation from the CDU and CSU had opposed each other.

The union had argued that the traffic light plans for the unemployed lowered the motivation to take on a new job.

The dispute over the citizen's allowance, which will replace the Hartz IV system, focused in particular on sanctions for the unemployed.

  • The plans of the traffic light coalition had provided for a trust period of six months during which there would have been no reductions in benefits for the unemployed, for example in the event of breaches of duty.

    Under pressure from the CDU and CSU,

    sanctions

    are now possible from the first day.

  • The

    waiting period

    with milder regulations, originally scheduled for 24 months, should only be twelve months – the Union had put pressure on here too.

  • The Union side implemented a reduction from EUR 60,000 to EUR 40,000 in

    the related

    assets .

Most recently, time was running out for a compromise solution: According to the Federal Employment Agency, an agreement by the end of the month was necessary for the changes to take effect at the turn of the year.

On Tuesday, Ampel and Union announced a breakthrough in the negotiations.

The government had responded to key demands from the CDU and CSU.

Chancellor Olaf Scholz (SPD) praised the compromise solution on Wednesday in the general debate in the Bundestag: "I am glad that we have found an amicable solution - a good one, by the way."

Now nothing stands in the way of the introduction of citizen income on January 1, 2023 according to a new proposal in the Bundestag and Bundesrat.

Parliament and the Chamber of States could pass the modified law as early as Friday.

fek/kko/dpa/Reuters

Source: spiegel

All news articles on 2022-11-23

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