After weeks of debate, Germany’s ruling coalition has reached a breakthrough on tightening the Bürgergeld system, the country’s core welfare benefit that replaced Hartz IV. According to coalition sources in Berlin, recipients who repeatedly miss mandatory Jobcenter appointments will soon face significantly harsher sanctions — including the complete suspension of payments after multiple violations.
The compromise was reached in a late-night coalition committee meeting between the CDU/CSU and SPD, and it marks a return to tougher welfare enforcement policies once considered politically toxic.
Step-by-Step Sanctions for Missed Appointments
Under the new plan, any welfare recipient who misses a Jobcenter appointment without justification (such as illness) will see their monthly payment immediately reduced. The reduction is expected to be around 30 percent, a sharp increase compared to the previous 10 percent limit.
If the person skips a second appointment, the same 30 percent reduction will apply again. And if a third meeting is missed, the state will stop all financial support entirely. Should the recipient still fail to appear the following month, housing subsidies will also be suspended, effectively cutting off all state assistance.
Officials describe this as a “three-strike rule”: three missed appointments mean no Bürgergeld, and continued non-compliance results in a full suspension of benefits.
Additional Sanctions for Refusal to Work
Beyond appointments, the new regulations target those who refuse reasonable job offers or ignore application obligations. In these cases, benefits may be cut by 30 percent immediately. If an unemployed person outright refuses to take a job, the state may suspend all financial transfers, in line with a previous Federal Constitutional Court ruling that permits temporary total sanctions under specific conditions.
However, that ruling limits how long such sanctions may last — only as long as the refused job offer remains valid. Total suspensions are therefore expected to remain rare and closely monitored.
Other Agreements from the Coalition Meeting
The welfare reforms were only part of a broader package of overnight negotiations between the parties:
- Infrastructure funding: Transport Minister Patrick Schnieder (CDU) will receive an additional €3 billion for new road projects. His original request of €15 billion was reduced during talks.
- E-Car incentive: Citizens with low and middle incomes will benefit from a new €3 billion subsidy program for electric and zero-emission vehicles, intended to stimulate both the automotive sector and climate goals.
- Active pension reform: Retirees who choose to continue working after retirement will be allowed to earn up to €2,000 per month tax-free, on top of the general annual exemption of roughly €12,000. These additional earnings will not affect the individual’s tax rate, avoiding penalties under the so-called Progressionsvorbehalt clause.
A Political Message of Discipline and Responsibility
The new Bürgergeld framework is being presented by both the CDU and SPD as a “balanced approach” between social support and personal responsibility. Critics, however, argue that the stricter sanctions may increase poverty risks for vulnerable groups and could conflict with constitutional protections of minimum welfare levels.
Government officials defend the reform as necessary to preserve public trust in the welfare system, emphasizing that “support must come with responsibility.”
