Two instruments for supporting the long-term unemployed:
Section 16e SGB II and Section 16i SGB II
The 10th SGB II Amendment Act – Participation Opportunities Act came into force on 1 January 2019. Both instruments – Section 16e SGB II and Section 16i SGB II – provide for the possibility of comprehensive employment support for the long-term unemployed, which can be provided by the job centre itself or by a third party. In order to create additional
employment opportunities on the labour market, the Act provides financial support for employers who hire the long-term unemployed. Wage subsidies of up to 100% can be granted for a period of up to five years. The reference value for the subsidy is the minimum wage plus a flat-rate employer's contribution to the total social security contribution minus the contribution to employment promotion (unemployment insurance contribution). If the employer is obliged to pay a higher wage by or on the basis of a collective agreement, the subsidy is calculated on the basis of the wage to be paid.
In conjunction with the 2019 Federal Budget Act, which also includes the passive-active transfer, this opens up additional opportunities for job centres, especially for the long-term unemployed.
Information flyer "Participation Opportunities Act" for employers
Integration of the | Participation in the labour market |
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Holistic employment support | |
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Cornerstone for employers | |
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* Allowance in the amount of the minimum wage, unless the employer is bound or orientated by collective agreements, in which case the actual pay paid is taken into account.
How to reach us:
You can find the contact details for the employer services here.
