The federal government plans to replace the Hartz IV unemployment benefit with a citizen’s benefit from January. A draft law by the Minister of Labor is being discussed.
Berlin – From January 2023, citizen’s income is to replace unemployment benefit II or Hartz IV. Now the traffic light proposal is taking shape. A draft law by Federal Labor Minister Hubertus Heil is currently still being discussed in the department. An overview of what the Minister of Labor is planning.
Hartz IV becomes citizen income: Standard rates increase in January
According to the plans of the Federal Ministry of Social Affairs, single people without children will receive 502 euros a month in the future. The ARD reports, citing the Ministry of Labor. The planned citizens’ income represents an improvement of 53 euros per month compared to the previous Hartz IV standard rate.
It is also planned that the standard rate for adult partners will be raised to 451 euros. The standard rates for children differ depending on their age. For children aged 14 to 17, 420 euros are provided. It should be 348 euros for 6 to 13 year olds and 318 euros for up to 5 year olds.
New Citizens’ Income: Orientation to the inflation rate
What is also new is that the citizen’s income is to be adjusted to the inflation rate in the future. So far, the actual inflation rate was only taken into account retrospectively for unemployment benefit II. In the future, the federal government wants to work more proactively. From January, the forthcoming inflation rate should then be decisive. This is to prevent prices from rising faster than they can adjust for inflation.
Criticism of the concept still comes from the government partner. The FDP warned of incalculable costs. Party leader Christian Lindner pointed out that the basic income should not represent an unconditional basic income. The party insists on more rigor in the implementation of citizen money, for example in the form of sanctions. The newspapers of Funk media group he said: “Many people cannot understand that they should not only support the needy with their taxes, but also those who deliberately miss appointments or turn down offered education and work.”
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