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Germany Readies Bürgergeld Fraud Crackdown as Cases Stay High

A draft bill targets eligibility rules alongside tougher data sharing after the labor agency logged hundreds of organized cases this year.

Overview

  • The Federal Employment Agency confirms 293 new organized-fraud procedures through August 2025, with 151 criminal reports filed and 320 investigations completed.
  • Recorded cases rose to 421 in 2024 from 229 in 2023, and officials caution the true number is likely far higher.
  • Authorities describe networks that lure EU nationals, often from Eastern Europe, into sham or marginal jobs to claim benefits that are then skimmed by ringleaders.
  • Government leaders say a first reform draft exists, with coalition work underway to set clearer minimum‑hours criteria tied to EU case law, improve data exchange, and tighten enforcement.
  • Politicians also push tougher action on undeclared work, while a CSU lawmaker proposes limiting EU citizens’ benefits to home-country levels, a move backed by two CDU state ministers.