Ukrainians in Germany risk losing their social security benefits: who will be most affected?

Anna Kramarenko
Anna Kramarenko Editor-in-Chief
Ukrainians in Germany risk losing their social security benefits: who will be most affected?
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A reform of social assistance has come into force in Germany – the ‘Bürgergeld’ payment has been replaced by a new basic social assistance scheme. The law is being phased in from 1 July.

This was announced by the German government.

What is changing in the name and approach

The ‘Bürgergeld’ benefit has been renamed ‘Grundsicherungsgeld’. The reform is based on the ‘claim and support’ principle: those in need of assistance can continue to rely on support, but those who are able to work must make an effort to earn a living independently.

First, the possibility of immediate employment will be assessed, and only if this is not possible will options for retraining or education be considered. This applies in particular to people under the age of 30.

Who is required to work full-time

People who are able to work must utilise their labour to the greatest extent possible – so that state support is no longer required. Single people are required to work full-time if this is feasible for them.

Parents caring for children can now be involved in employment or integration measures once their child reaches 14 months of age – previously, this applied to children aged three and over.

What penalties apply for non-compliance?

If a support programme is disrupted or an individual refuses to apply for jobs, basic benefits may be reduced by 30 per cent for three months.

For missing deadlines at the jobcentre:

  • the first missed appointment carries no consequences;
  • from the second missed appointment, benefits are reduced by 30 per cent per month;
  • in the event of three consecutive missed appointments, a phased procedure is in place, which may ultimately result in the complete loss of entitlement to benefits, including housing allowance.

The so-called ‘rule on refusing work’ has also been tightened – the basic benefit may be suspended entirely for at least one month, up to a maximum of two, and this rule will be applied earlier than before.

What else is changing

The annual ‘grace period’ for assets is being abolished – instead, the amount of protected savings will be linked to a person’s age. Housing costs will now be capped even during this grace period — the limit will be one and a half times higher than the general eligibility threshold.

Employment centres will also be given more effective tools to combat abuse of social benefits.

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