Perspectives on Germany’s Welfare Reform (“Bürgergeld”)

Abstract The Hartz IV labour market reform in 2005 triggered a substantial reduction in unemployment in Germany. At the same time, it reduced social welfare for the long-term unemployed and increased uncertainty for the employed. The proposed reform by the new government (“Bürgergeld”) will adjust t...

Full description

Saved in:
Bibliographic Details
Main Author: Christian Merkl
Format: Article
Language:deu
Published: Sciendo 2022-02-01
Series:Wirtschaftsdienst
Online Access:https://doi.org/10.1007/s10273-022-3106-7
Tags: Add Tag
No Tags, Be the first to tag this record!
_version_ 1832569582081015808
author Christian Merkl
author_facet Christian Merkl
author_sort Christian Merkl
collection DOAJ
description Abstract The Hartz IV labour market reform in 2005 triggered a substantial reduction in unemployment in Germany. At the same time, it reduced social welfare for the long-term unemployed and increased uncertainty for the employed. The proposed reform by the new government (“Bürgergeld”) will adjust the German welfare system moderately towards more social insurance. This article argues that the associated negative employment effects can be minimised by requiring appropriate participation from unemployed and by preventing new paths to early retirement. In addition, the article further discusses potential reforms to better reconcile employment incentives and social insurance.
format Article
id doaj-art-37ecde1469ae48939b0fc13af10f44b9
institution Kabale University
issn 0043-6275
1613-978X
language deu
publishDate 2022-02-01
publisher Sciendo
record_format Article
series Wirtschaftsdienst
spelling doaj-art-37ecde1469ae48939b0fc13af10f44b92025-02-02T20:24:36ZdeuSciendoWirtschaftsdienst0043-62751613-978X2022-02-011022868910.1007/s10273-022-3106-7Perspectives on Germany’s Welfare Reform (“Bürgergeld”)Christian Merkl0FB Wirtschafts- und Sozialwissenschaften, Friedrich-Alexander-Universität Erlangen-NürnbergAbstract The Hartz IV labour market reform in 2005 triggered a substantial reduction in unemployment in Germany. At the same time, it reduced social welfare for the long-term unemployed and increased uncertainty for the employed. The proposed reform by the new government (“Bürgergeld”) will adjust the German welfare system moderately towards more social insurance. This article argues that the associated negative employment effects can be minimised by requiring appropriate participation from unemployed and by preventing new paths to early retirement. In addition, the article further discusses potential reforms to better reconcile employment incentives and social insurance.https://doi.org/10.1007/s10273-022-3106-7
spellingShingle Christian Merkl
Perspectives on Germany’s Welfare Reform (“Bürgergeld”)
Wirtschaftsdienst
title Perspectives on Germany’s Welfare Reform (“Bürgergeld”)
title_full Perspectives on Germany’s Welfare Reform (“Bürgergeld”)
title_fullStr Perspectives on Germany’s Welfare Reform (“Bürgergeld”)
title_full_unstemmed Perspectives on Germany’s Welfare Reform (“Bürgergeld”)
title_short Perspectives on Germany’s Welfare Reform (“Bürgergeld”)
title_sort perspectives on germany s welfare reform burgergeld
url https://doi.org/10.1007/s10273-022-3106-7
work_keys_str_mv AT christianmerkl perspectivesongermanyswelfarereformburgergeld