It is fears like these that, together with the increase in citizens’ benefits, inflation and the federal government’s pressure to save, have led to the big debate about basic security, says Alexander Spermann. The economist teaches at the FOM University in Cologne and at the University of Freiburg. He says: “The assumption is becoming more and more solid that working is no longer worth it.” Spermann also says that the increase in citizens’ benefits reduces the incentive to work. What is forgotten, however, is that at the end of the Hartz IV era the increases were “scandalously ridiculously small amounts”. “You could probably buy two espressos with that.”
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Nevertheless: It seems to be a step back towards the old Hartz IV thinking. “The placement priority that was actually abolished is now being taken out of the drawer again,” says Spermann. In order to plug the budget hole, the federal government wants to save on citizens’ money. The citizen’s money bonus of 75 euros per month, which was only introduced in July 2023, will fall victim to the red pen. Citizens’ benefit recipients received it if they took part in further training measures. Sanctions are also being tightened. In addition, Ukrainian refugees should be placed in work more quickly. Makes sense, as Spermamann says. “Language courses can also be completed alongside a job.” Total savings from the measures: around 750 million euros.