Status: 11/12/2022 1:33 p.m
The Federal Council is to vote on citizen income on Monday. But the Union could let the plans fail. Finance Minister Lindner signaled a willingness to compromise. You can negotiate anything. Union boss Merz expressed skepticism.
The Bundestag has already approved the citizens’ allowance – next week it will be up to the Bundesrat. However, the CDU and CSU reject the social reform on crucial points and make no attempt to move away from their blocking stance.
It is therefore extremely likely that the plans will end up in the mediation committee. Federal Finance Minister Christian Lindner has now announced his willingness to talk. “We are openly going into a mediation process,” he told the editorial network Germany. You can negotiate anything.
Standard rate to 502 euros
The coalition of SPD, Greens and FDP had its largest socio-political reform project through the Bundestag on Thursday. Citizens’ income is to replace the current Hartz IV system at the turn of the year. The government’s plans include an increase in the standard rate from 449 euros for single people to 502 euros.
In future, the unemployed should also be put under less pressure by threatened withdrawal of benefits and given more support with further training measures. In addition, the requirements for the permitted amount of assets and the size of the apartment for benefit recipients are to be relaxed.
Alleviate: reward, not punish
The traffic light parties only agree with the Union that the standard rate should increase by 53 euros. Lindner said: “If we can still improve the additional income, that would be very good.” Taking up work is a step towards permanent independence from social benefits; that must be “rewarded and not punished”.
On the question of spare assets, Lindner said it would be “inhumane” if a person who had worked all his life and was no longer able to work at the end of 50 due to a stroke of fate had to use up all his savings immediately. “We give him two years to overcome the life crisis and qualify. Society should have this generosity,” said the FDP leader.
The CDU and CSU vehemently reject the project because, in their view, it reduces motivation to accept work. The Union also criticizes the fact that citizen income puts lower income groups at a disadvantage because not working with it “is almost as lucrative as working”.
Merz: Law at the wrong time
Union faction leader Friedrich Merz therefore sees little room for an agreement. With the citizens’ allowance, the federal government is carrying out a complete system change in labor market policy, he told the “Welt am Sonntag”. Compromises are difficult.
This “so-called citizen money” is the way to an unconditional basic income from tax funds. In addition, the law comes at the wrong time. “Craftsmen, restaurateurs, small and large companies – they are all desperately looking for workers. And now, of all times, when it is more important than ever to get people into work, such a law is being passed.”
Scholz is relaxed
Federal Chancellor Olaf Scholz is relaxed about the vote in the Federal Council on the planned citizens’ allowance. It might not work the first time, but then the mediation committee would have to make an effort, he said at a panel discussion in the “Leipziger Volkszeitung”.
When asked whether the citizen’s income made work less attractive, as criticized by the Union, Scholz replied: “That’s really complete nonsense.” Citizens’ income is a question of justice for everyone.
Dürr warns CDU and CSU
The chairman of the FDP parliamentary group, Christian Dürr, warned the Union against a blockade course. Simply increasing the standard rates without improving work incentives is the opposite of performance-based justice.
Dürr accused the Union of false reports in the debate. “CDU and CSU should stop spreading fake news about citizen income with confused statements,” said Dürr. The debate about the successor to the Hartz IV system revealed one of the greatest injustices in the welfare state. “Anyone who wants to do something to escape unemployment has so far been punished by the state.” This is where his party comes in.