Hartz IV, or Basic Security for Jobseekers
Definition, Explanation
The designation “Hartz IV” derives from a commission for “modern services in the labour market” in 2002. The commission resulted in new benefits for unemployed. Since then, “Hartz IV” has also been used to refer to what authority language calls “basic security for jobseekers”, and sometimes just to the unemployment benefit II.
Hartz IV, or basic security for jobseekers, comprises the following benefits:
- ongoing benefits securing the living
- one-time benefits securing the living
- for several-days school trips
- first furniture in home including home appliances
- first full garment acquisition
- first demands for pregnancy and birth
- benefits serving integration in employment
- instruments of employment promotion
- nursing of minor-aged or disabled children or home-caring for relatives
- debt counselling
- psychosocial assistance
- addiction counselling
- benefits according to semi-retirement regulations
- 1-Euro-jobs, so-called “employment opportunities with compensation for additional expenses”
- commencement benefit when one is newly employed
- employment subsidy
Persons receive Hartz IV benefits if they fulfil the following criteria:
- employment-capable person, in need of support, aged from 15 to 65 years. One is employment capable if one's state of health allows working at least 3 hours a day. One is in need of support if one cannot make a living just with one's income or assets. Thus, also those persons are in need of support who do have an income from some work, while that income just does not cover the needs for a living; may also be for self-employed
- main residence is Germany
- lives alone or in a household-unit in need
Persons excluded from Hartz IV benefits are:
- foreigners in the first 3 months of their stay
- foreigners and family members whose right of residence results from the purpose of jobseeking
- foreigners to who the Asylum-Seekers-Benefit-Law applies
As a receiver of Hartz IV benefits, you are obliged to accept any offer to be employed in a reasonably imposable job. This applies, even if
- the job is not what any of your previous jobs have been, or does not correspond to the education you took
- the job is to be considered inferior to your education
- the location of employment is further away than a previous one
- the working conditions are worse than they have been in previous jobs
- it forces you to end another employment
- the remuneration is lower than the tariff or than the locally usual remuneration. Exception: amount of remuneration violates the law or morality
A job is not reasonably impossible if
- the person in need of support is incapable of it mentally or physically
- you endanger the education of your child or your partner's child, which applies for children below the age of 3. The education of older children is considered not endangered if it is possible to give them into public or private day care
- the work would make it very difficult to the person in need of support to further exert the previous predominant occupation because that occupation is physically demanding in a special way
- the work cannot be reconciled with the necessary nursing care for a relative while other ways to provide nursing care are impossible
- another serious reason makes the work impossible
If you refuse a job although it is reasonably imposable, that results in a cut of your regular benefit component:
- First time refusal is sanctioned with a cut by 30 % for 3 months
- a second violation of obligations with a cut by 60 %
- For any further violation of obligations, the unemployment benefit II is ceased completely
- If you are below the age of 25 and refuse a reasonably imposable employment, or educational measure, integration measure or casual employment, your benefits are ceased for 3 months
Tips, Checklist
- Turn to your local labour agency, or to the ARGE or your municipality
- Try to keep a period of unemployment as short as possible. The longer you remain unemployed, the more difficult will it be to get employed again
- Even if there are objective criteria by which a job is rated not-reasonably-imposable, you should try to overcome these, e.g. by getting your baby placed into day care, or a nursing care person for your sick relative
- File the application for unemployment benefit II or social money as soon as possible. You will receive benefits only from the point in time you file the application, but not for prior months in which you were in need of support. You can file applications for other members of your household-unit in need, but not for other members of your flat sharing community
- The application for Hartz IV benefits can be made by post, telephone or in a personal talk in the ARGE or in the municipal office
- Be sure to sign the integration agreement and to accept reasonably imposable offered employment. Otherwise, you risk cuts in your regular benefits
- Discuss with your contact person or case manager in the ARGE / municipality, which expenses are refunded when you begin a certain employment involving compulsory insurance. Usually, there is no a priori legal entitlement to receive those benefits. Rather, it is determined by your contact person which of the benefits will be granted to you
Last update: 03/10/2010