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The length of long-term unemployment of Hartz IV referees has continued to increase in recent years. In year 2011 people who had to obtain basic security, on average 555 days without work, have been 629 days in year 2016. More than three years of unemployment were in year 2011 around 298,000 Hartz-IV recipients and-referees. Up to 2017 this figure rose to around 317,000 people.
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This emerges from statistics of Federal Employment Agency (BA), which labour market policy spokeswoman of left-hand group, Sabine Zimmermann, has drawn attention to. The Linkenpolitikerin described it as “a humiliating about resorting event for various federal governments” that duration of unemployment in Hartz IV system is increasing. Since 2010 benefits of integration into work have been drastically reduced.
In March 2018, according to BA statistics, more than 1.2 million people had been without a job for more than a year. Officially counted as long-term unemployed but only 859,387 people. This is due to fact that some of persons concerned are involved in measures such as training and qualification and are refore not included in statistics as seeking. As a result, number of long-term unemployed is estimated to be 2017 with 809,000 people in statistics, although labour market experts believe that real number is likely to be more than a million more affected.
Opportunities for placement in first 24 months
According to studies, longer y are without a job, chances of long-term unemployed are declining to find a new job. The highest are chances of conciliation among people who are not yet two years without work, according to BA. These persons are considered to be “closer to market” and “easier to communicate” than job seekers, who are already three, four or even more years without a workplace. Almost 100,000 people who were not yet 24 months without work found a new job last year.
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The Federal Employment Agency points out that share of short-term unemployed is declining. Nor should all beneficiaries of basic security be equated with long-term unemployed.
There are currently about six million people who are referring to Hartz IV. Many of m follow a minor occupation or work part-time. However, ir income is not sufficient to make a living independently. They refore need to obtain increased benefits in order to feed ir families, for example.
The rule set for a standalone is currently 416 euros per month. For a so-called community of requirements, basic security benefits on average 954 euros.
The Union and SPD have agreed in coalition agreement that y want to fight long-term unemployment more effectively – goal of labour market is full employment. To achieve this goal, government wants to create a social labour market where up to 150,000 long-term unemployed are to find a new job. The government coalition wants to provide a good four billion euros for this. Companies in free economy should receive wage subsidies if y employ long-term unemployed. Jobs for long-term unemployed are also to be created by municipalities and charitable institutions. However, concrete conditions for social labour market are still unclear.