Overview
- From 2026, the federal overhaul abolishes the asset grace period and introduces age‑tiered asset limits with tougher sanction options and mandatory cooperation agreements.
- Nordhausen launched a three‑month trial on 3 November requiring under‑25 recipients without training to do up to 40 hours a week of community work at €1.20 per hour.
- Initial uptake was weak: 30 of 60 invited youths showed up and only eight started work, with the county weighing 10% benefit cuts for non‑participation and sending officers to follow up at home.
- Local officials warn of a surge in paperwork, appeals and costs that could strain jobcenters and social courts, including concerns voiced by Siegurd Heinze, Ali Doğan and Essen mayor Thomas Kufen.
- A YouGov/dpa poll finds majority backing for tougher rules, while the labor ministry projects modest savings of €86 million in 2026 and €69 million in 2027 as researchers such as DIW’s Marcel Fratzscher question the reform’s effectiveness.