Status: 11/07/2022 2:26 p.m
“Jumping too short”: The SPD does not want to get involved with the proposal from CDU leader Merz for citizen money. The FDP also strictly rejected the opposition’s request. Merz had suggested initially only increasing the standard rates.
The traffic light coalition has rejected the proposal by CDU leader Friedrich Merz in the dispute over citizen income. The opposition leader had spoken out in favor of initially only deciding to raise the standard rates and only later discussing other parts of the project.
“Mr. Merz’s argument surprises me a bit,” said Federal Labor Minister Hubertus Heil (SPD). In the past few days, the Union has always complained that the gap between citizen income and wages is not big enough. Now she changes the context and just wants to raise the money. “That would have fallen short in terms of labor market policy. That’s why we are promoting a major reform,” said the SPD politician.
Heil added: “This is no longer the time for party tactics, it’s about many people who need support to get out of trouble, that’s what we’re concentrating on.”
“Is out of the question for the FDP”
The FDP also strictly rejected the union proposal. “Simply increasing the standard rates without improving performance justice and promotion opportunities through reforms – that is out of the question for the FDP,” said party Vice President Johannes Vogel. “The fact that the Union is proposing this shows that they and Friedrich Merz in particular are obviously not concerned with work incentives, but only with their own perception in the debate.”
So far, he has experienced the debate in the Union as constructive, said FDP General Secretary Bijan Djir-Sarai. But he was irritated by Merz’s recent statements. “Anyone who says: raising the standard rates yes, but structural changes no, is on the wrong track. We have to modernize the social security systems in Germany.”
“This is an overall package that is coherent in itself and also contains the connection for expiring regulations. We are not taking out something that one side likes and burdening the job center with uncertainties,” said the deputy chairman of the SPD parliamentary group , Dagmar Schmidt, of course.
Traffic light needs union countries
On Thursday, the Bundestag is to vote on the reform of the Hartz IV system and the conversion to a citizen’s allowance. Because the traffic light coalition is then also dependent on the approval of the Bundesrat and the states represented there under the leadership of the Union for the law that requires approval, the CDU/CSU have a means of political pressure. Once the draft law for the traffic light ends up in the mediation committee, the start date for citizen income on January 1st is unlikely to be achievable.
Saving assets and grace periods
Merz had in the daily topics on Sunday proposed that the Bundestag make a binding decision on raising the Hartz IV standard rates this week. That must happen no later than January 1st. “And then we have to talk about this system change that is being made with this so-called citizen money,” said Merz. He referred to the planned protective assets and waiting periods, with which the Union did not agree. A similar approach had already been outlined last week by Union faction leader Hermann Gröhe. The federal board and presidium of the CDU have now committed themselves to this line.
“We want to separate one from the other,” said CDU General Secretary Mario Czaja. The Union faction will submit an application to the Bundestag this week to increase the standard rates – and expect the “traffic light” to agree
“False Incentives”
Above all, the CDU and CSU criticize “wrong incentives” in the social reform. They criticize the fact that, according to the traffic light plans, citizens’ income can be drawn in the first 24 months even if those affected have high reserves. The so-called protective assets of 60,000 euros for the actual benefit recipient and 30,000 euros for each additional household member should apply. Green labor market expert Frank Bsirske countered: With the protective assets criticized by Merz, “only what the grand coalition decided in 2020 will continue”.
In order to prevent the blockade in the Federal Council, the traffic light parties presented a compromise proposal on Friday. According to this, among other things, the protective assets that social benefit recipients do not have to touch for their livelihood should be examined more closely. However, nothing should be changed about the planned increase in protective assets. In addition, the heating costs should only be borne by the job centers to a reasonable extent. But that is obviously not enough for the Union.
Despite opposition from the Union, Labor Minister Heil reiterated the traffic light schedule for introducing citizen income on January 1st. Numerous requests for changes from the federal states were received. “So the hand is outstretched.” Should there be a mediation procedure between the Bundestag and the Bundesrat, solutions must be found so that it can come into force on January 1st.
According to the plans of the federal government, the citizen’s income is to replace the previous basic security system Hartz IV on January 1st. The aim is to put those affected in a position to be able to concentrate more on further training and looking for work. They should be put under less pressure by the job center. The standard rates of basic security should increase. Single people should receive 502 euros a month and young people 420 euros. Today, single people receive 449 euros.