Hartz IV successor: Craft criticizes Heil's basic income concept - "demotivation" for low earners

The trade association sees false incentives for low earners in the federal government's citizens' allowance concept.

Hartz IV successor: Craft criticizes Heil's basic income concept - "demotivation" for low earners

The trade association sees false incentives for low earners in the federal government's citizens' allowance concept. "It causes demotivation for those who work regularly with a low salary. At the lower end, the boundaries between regular work and basic income are becoming increasingly blurred," said the President of the Central Association of German Crafts (ZDH) Hans Peter Wollseifer of the Düsseldorf "Rheinische Post".

Many wondered why they should be working at 7 a.m. when recipients of citizenship benefit received almost the same. "The improvements for recipients of allowances, the elimination of sanctions, the significant increase in the standard rate, the complete assumption of the sharp rise in heating costs - all of this will mean that for more people than before, not working is more worthwhile than working ." Long-term unemployed need support to get back to work. "The citizens' allowance concept does not sufficiently guarantee this, so we do not think it is good," said Wollseifer accordingly.

The draft law by Minister of Labor Hubertus Heil (SPD) to introduce citizen income as a successor to Hartz IV from January 1, 2023 is to be passed by the cabinet this Wednesday.

According to Heil's plans, the standard rate of the new citizen's income should be 502 euros per month for single adults. This is intended to increase the previous Hartz IV rate by more than 50 euros from January 1, 2023.

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