Retroactive Switch in Doubt

Retroactive Switch in Doubt

In a recent development, the planned switch in the legal framework for Ukrainian refugees, as agreed upon in the coalition contract, is likely to be delayed and not implemented retroactively as initially planned. According to sources from the coalition and the Landkreistag, the Social Democratic Party (SPD) is considered unlikely to implement the change, which would see new arrivals receiving benefits under the Asylbewerberleistungsgesetz instead of the Bürgergeld, starting from April 1, 2025.

The main reason for this is the significant bureaucratic effort required, as the federal government would need to cover the costs of the Bürgergeld, while the states and municipalities would be responsible for the Asylbewerberleistungsgesetz. This would involve a complex and costly process of offsetting the costs, which is also linked to the Federal Agency for Work, according to the sources.

The planned switch in the legal framework was initially set to take effect on the date the law comes into force, rather than from April 1, 2025. The SPD’s labor market spokesperson, Annika Klose, emphasized the need for a solution that is feasible for local authorities and job centers and does not add to the burden.

A spokesperson for the Federal Ministry of Labor, in response to a query from the Bild, stated that the government aims for a “bureaucracy-minimal” regulation. Markus Mempel, from the German Landkreistag, also expressed a similar view, stating that it would be more in line with streamlined administrative procedures to implement the change only when the law comes into force.

The coalition agreement, which was negotiated under pressure from the Union, had initially planned the switch in the legal framework to take effect retroactively from April 1, 2025.