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Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for measure DE-2022-27/2252 Updated – measures in Germany

One-time payment for receivers of unemployment and social assistance and unemployment benefits

Einmalzahlung für Empfänger von Sozial- und Arbeitslosenleistungen

Country Germany , applies nationwide
Time period Temporary, 01 July 2022 – 31 July 2022
Context War in Ukraine
Type Legislations or other statutory regulations
Category N/A
– Increasing income in general
Author Birgit Kraemer (Hans Boeckler Foundation) and Eurofound
Measure added 12 May 2022 (updated 27 February 2023)

Background information

In the course of the Russian aggression against Ukraine energy and food prices have been significantly rising. In March 2022, the German government decided to adopt a relief package addressed to citizens, workers, and companies. The one-time payment for receivers of social assistance 2022 is a central part of the package and addressed to support this particularly vulnerable group.

Content of measure

The government decided in April 2022 that receivers of social assistance and unemployment assistance (ALG II) shall receive a one-time payment of €200, and receivers of unemployment benefits (ALG I) shall receive €100, to help cover additional costs incurred by the peaking inflation. The payment will be made in July 2022 in addition to the regular monthly transfers. People at risk of poverty are particularly hit by the inflation, because they must spend a higher share of their income for energy and flood supplies which are also the main drivers of the current rise in prices for consumer goods. The calculated costs for the one-time measure are roughly €450 million and will be partly covered by the national budget and by the budgets of the states (Länder).

Updates

The following updates to this measure have been made after it came into effect.

07 June 2022

The measures is no longer active, as they were one-time payments that were paid out in August 2022 according to the Federal Employment Agency.

Use of measure

No data available. Since all receivers of social and unemployment assistance receive the extra payment automatically, problems regarding pick-up are not expected.

Target groups

Workers Businesses Citizens
Unemployed
Does not apply to businesses Other groups of citizens
People on social benefits

Actors and funding

Actors Funding
National government
National funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role Consulted Consulted
Form Direct consultation outside a formal body Direct consultation outside a formal body

Social partners' role in the implementation, monitoring and assessment phase:

  • Unknown
  • Main level of involvement: Peak or cross-sectoral level

Involvement

Social partners participated with other interested groups in an oral hearing of the competent committee of the national parliament (Bundestag).

Views and reactions

While the German Trade Union Federation (DGB) supports additional payments in general, they criticise that a one-time payment of €200 is far from covering the additional costs which receivers of social transfers face. Instead, the DGB calls for a new calculation of the regular transfer payments to make sure that they cover the actual costs of living in the long run.

The Federation of the German Employers (BDA) criticises that the reasoning for the level of the payment is not sufficiently justified.

Sources

  • 06 May 2022: 2022-Bundestag_Stellungnahmen-Einmalzahlung (www.bundestag.de)
  • 13 May 2022: Gesetz zur Regelung eines Sofortzuschlages und einer Einmalzahlung
  • 07 June 2022: Federal Employment Agency (Bundesagentur für Arbeit (www.arbeitsagentur.de)

Citation

Eurofound (2022), One-time payment for receivers of unemployment and social assistance and unemployment benefits, measure DE-2022-27/2252 (measures in Germany), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/DE-2022-27_2252.html

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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.