Weekly proceedings in the German Federal Parliament (Bundestag)

In a series of moves aimed at addressing various challenges, the German federal government has introduced several new bills and initiatives. Here's a roundup of some of the most significant developments:

Tax and Economic Policies

The Annual Tax Act 2022 is being introduced to make necessary technical adjustments in various areas of German tax law. Additionally, the federal government's draft bill proposes the reactivation and realignment of the Economic Stabilization Fund (WSF) to expand its purpose to include preventing severe economic damage due to the crisis-like developments on energy markets.

To relieve people with low income from rising energy costs, housing allowance is being significantly expanded, and a second heating cost subsidy is being provided. The housing allowance amount is expected to increase by an average of around 190 euros per month with the reform in 2023. Furthermore, a one-time payment of 300 euros is provided for federal retirees and pensioners in the third relief package.

Energy-intensive businesses are set to benefit from tax relief, enabling them to receive up to 90% of the remaining energy or electricity tax on heating materials and electricity for all energy and electricity consumption in a year.

Child Daycare Quality Act

The Child Daycare Quality Act provides four billion euros over two years to states for improvements in child daycare, focusing on staffing, language education, and daycare expansion. This act builds on the success of the Good Daycare Act, which improved staffing ratios and provided more free daycare places. States are responsible for implementing the Child Daycare Quality Act and can decide how to allocate the funds in seven priority areas.

EU Directives and Regulations

Corporate Sustainability Reporting Directive (CSRD): Implementation is phased, with large EU companies required to report starting from January 1, 2025, and listed SMEs and some financial institutions following in 2026. Germany has not yet fully transposed the CSRD into national law, prompting EU law infringement proceedings.
Digital Operational Resilience Act (DORA): This act came into full enforcement in January 2022, focusing on strengthening resilience against cyberattacks and IT disruptions for financial institutions.
EU Accessibility Act (EAA) in Germany: Germany implemented the European Accessibility Act (EAA) through the Barrier-Free Information Technology and Online Services Act (BITV), but the current search results specifically mention the BFSG (Federal Equality Act for People with Disabilities), which entered into force on June 28, 2022. The BFSG includes penalties for non-compliance, such as administrative fines and potential market restrictions.

Other Developments

The federal government is submitting an application to continue the Bundeswehr mandate to combat IS terrorism and stabilize Iraq, with the mandate covering exclusively Iraq as the area of operation and will be comprehensively reviewed during the mandate period.
The draft bill to amend the Animal Drug Act aims to expand the national antibiotic minimization concept and improve data collection for cattle, pigs, chickens, and turkeys in animal husbandry.
From 2024, EU member states will be legally obliged to submit comprehensive data on the use of antibiotics in animals to the European Medicines Agency (EMA) annually.
The Planning Security Act (PlanSiG) aims to extend until 31 December 2023 to continue to be prepared for the uncertainties of the pandemic.

The Citizen's Income Act removes the time limit on funding for the Social Labor Market, enabling social participation in long-term publicly funded employment. From January 1, 2023, the Citizen's Income will replace the current basic security (Hartz IV). The reform aims to bring people back into work through comprehensive support in the long term. Existing parental fee reductions are expected to continue, provided that more than 50 percent of the funds flow into the seven priority areas.

The EU Cross-Border Transformation Directive of 2019 is set to be implemented by early 2023, aiming to protect employee participation rights in company transformations, mergers, and changes in legal form. However, there is currently no specific information available about this directive.

The report by the Commissioner for the East presents a new perspective on Eastern Germany, finding that East Germany has undergone profound changes over the past three decades and has had to reinvent itself several times. The Citizen's Income will increase the basic rate by about 50 euros and adjust more quickly to inflation in the future. The current integration agreement will be replaced by a cooperation plan without legal consequences.

[1] Bundesregierung (2022). Annual Tax Act 2022. Retrieved from www.bundesregierung.de

[2] Bundesregierung (2022). Child Daycare Quality Act. Retrieved from www.bundesregierung.de

[3] Bundesregierung (2022). Draft bill to provide relief for energy-intensive businesses. Retrieved from www.bundesregierung.de

[4] Bundesregierung (2022). Draft bill for the implementation of the EU Directive. Retrieved from www.bundesregierung.de

In the context of the German federal government's initiatives, the Citizen's Income Act, a part of the general-news and politics, is one of the significant developments. As of January 1, 2023, the Citizen's Income will replace the current basic security (Hartz IV), aiming to bring people back into work through comprehensive support in the long term.

Additionally, the Child Daycare Quality Act, another aspect of politics and general-news, is providing four billion euros over two years to states for improvements in child daycare, focusing on staffing, language education, and daycare expansion. This act is linked to the Successor of the Good Daycare Act, which improved staffing ratios and provided more free daycare places.