Debate Ignites Over Söder's Citizen's Money Initiative - Klingbeil Issues Alert on Potential Conflict - Proposal requested for a worker safety directive on ionising radiation hazards by the Commission.
German Government Proposes Reduction in Ukrainian Refugee Benefits
The German government has proposed a new law that will reduce the citizens' allowance (Bürgergeld) for Ukrainian refugees arriving from April 1, 2025. The proposed change aims to replace the citizens' allowance with lower benefits under the Asylum Seekers Benefits Act (Asylbewerberleistungen), resulting in about 20% less support for new arrivals, approximately €100 less per month[1][2].
This proposal has sparked a political debate, primarily between the conservative Christian Social Union (CSU) and the Social Democratic Party (SPD).
The CSU, led by Bavarian Prime Minister Markus Söder, is pushing for more extensive cuts, including ending Bürgergeld payments for all Ukrainian refugees in Germany, not just new arrivals. Söder argues that the current system disincentivizes Ukrainians from seeking work, as the benefits are too generous and comparable to those received by German citizens[1][3][4].
On the other hand, the SPD, represented by Labor Minister Berbel Bas, rejects further reductions beyond coalition agreements. The SPD emphasizes sticking to the coalition contract, which limits benefit cuts to newcomers and excludes those who arrived before April 1, 2025[2].
Around 1.25 million Ukrainian refugees currently live in Germany, with many remaining unemployed or underemployed. According to recent statistics, about 64.1% of Ukrainian refugees are registered as unemployed or in employment assistance[1].
The coalition agreement between CDU/CSU and SPD envisions reducing payments only for new arrivals (after April 1, 2025), with existing refugees retaining Bürgergeld. This legal change still awaits approval by the Bundestag and Bundesrat[1][2][4].
The draft law aims to reduce government spending by about €1.2 billion in 2026 and €350 million in 2027 by bringing Ukrainian refugees’ aid closer to that of other asylum seekers[2]. Germany remains one of the most generous countries in Europe with regard to Ukrainian refugee support, covering rent, health insurance, and immediate labor market access. Söder argues this generosity is not sustainable[4].
The conflict revolves around how broadly to apply reductions in social aid to Ukrainian refugees: the CSU demands broader cuts including for current refugees, while the SPD insists on honoring current commitments limiting cuts to new arrivals only.
The Chancellor's Office Minister, Free, agrees with Söder's proposal. Federal Minister of Labor, Barbara Bas (SPD), will present plans for a reform of the citizen's income to the cabinet in the fall. Last year, Germany spent 46.9 billion euros on citizen's income payments, with the costs for Ukrainian citizen's income recipients amounting to 6.3 billion euros.
The AfD supports Söder's proposal, while the CDU's social wing criticizes it. Only every third employable Ukrainian refugee in Germany is actually working, according to Free. Saxony's Minister President Michael Kretschmer noted that the employment rate of Ukrainian refugees in Germany is lower compared to France, Netherlands, Poland, and the Czech Republic.
Sahra Wagenknecht, chairwoman of BSW, sees it similarly, stating that the citizen's allowance must not become more and more a refugee fund that motivates migration to Germany.
[1] [Source 1] [2] [Source 2] [3] [Source 3] [4] [Source 4]
The political debate heated up as the Commission was also asked to submit a proposal for a directive on the protection of workers from the risks related to exposure to ionizing radiation, given the German government's ongoing discussion on reducing benefits for Ukrainian refugees. This policy-and-legislation issue has resonated beyond the borders, making general-news headlines.
