Find a good compromise
Ampel considers “quick agreement” on citizen income possible
11/19/2022, 12:30 p.m
In the first attempt, the planned citizens’ allowance fails with an announcement. CDU leader Merz describes a compromise as difficult. But negotiations are going on behind the scenes. SPD and FDP are confident that it will work.
The dispute over citizen income should be settled quickly with a compromise. “I am confident that a quick agreement on citizen income can be achieved if the Union participates objectively and results-oriented in finding a common solution,” said FDP Secretary General Bijan Djir-Sarai of the German Press Agency. SPD leader Saskia Esken told the “Tagesspiegel”: “There will be a good compromise in the mediation committee.”
CDU General Secretary Mario Czaja told the “Reutlinger General-Anzeiger”: “We are still very far apart in our positions.” The CDU chairman Friedrich Merz had recently called for “fundamental corrections”. “Compromises are difficult there,” Merz said in an interview. The CDU leader had criticized that “so-called citizen money” was the way to an unconditional basic income from tax funds.
The deputy FDP chairman Johannes Vogel, on the other hand, emphasized the planned performance incentives through the reform. “The citizen money has a strong liberal core – and that is the stronger work and performance incentive for those affected,” said Vogel of the German Press Agency. The former head of an employment agency in North Rhine-Westphalia explained: “With the citizen benefit we want to enable those affected to earn more than they do today.” This increases their chances of advancement because it makes their efforts more worthwhile.
“Today, for example, Annika, who grows up in a Hartz IV family and works in a mini job, can only keep 184 euros of 520 euros,” said Vogel. “If Ayse, whose parents are financially independent, does the same mini-job, then she can keep 520 euros.” The welfare state must build a stable ladder out of dependency for people, Vogel continued. “That’s why it would be wrong to only raise the standard rates and leave everything else as it is today with Hartz IV.”
Just increasing the standard rates?
From the point of view of the Union, those affected should be allowed to keep too many assets through the reform and have to fear too few sanctions if they do not follow the requirements of the job center. According to its parliamentary director Thorsten Frei, the Union faction is therefore considering applying again that only the standard rates be increased by January 1st.
After the draft law by SPD Labor Minister Hubertus Heil did not get a majority in the Bundesrat, the mediation committee of the Bundesrat and Bundestag is to lash down a compromise this Wednesday. As was heard from the coalition, informal talks on this are already in full swing. Djir-Sarai said: “The Free Democrats have already made it clear that they are open to constructive proposals from the Union, such as sanctions, protective assets or even more performance-friendly additional income rules.” Esken said: “The SPD is ready to talk and that’s why I’m optimistic.” But the basic principles must be preserved. It is important that “we want to achieve a change in culture in dealing with unemployed people”.
The labor market expert at the employer-related Institute of German Economics (IW), Holger Schäfer, criticized the planned regulation on the “trust period” in the “Rheinische Post”: “With the so-called, almost sanction-free trust period, newcomers are given the signal that they are at the You can take your time looking for a job.” Every day counts when it comes to reintegration into the labor market. In the “trust period”, the first six months of receiving the benefits, it should no longer be possible to reduce benefits if someone, for example, has not written any applications or attended training courses contrary to the agreement. Sanctions for repeated non-appearance at job center appointments should, however, continue to exist at the beginning.