Citizens’ money: why an association jumps into the breach when it comes to sanctions

Because people continue to be sanctioned despite citizen income, the association must continue to work without sanctions.Image: AFP / AFP Contributor

Analyse

Everything gets better with citizen money. At least that’s what the promise that the traffic light gave people in poverty and recipients of social assistance II (Hartz IV) last year sounded like. The reform has been in force since January 1st. For some, this has really improved something, said Janina Lütt in an earlier conversation with watson.

She herself is a recipient of citizen benefits – because she is unable to work due to her chronic illnesses. Not much has changed for her as a result of her inability to work. Because the main improvement of the new social assistance: Higher additional income limits.

But thanks to the Union intervention also continue to exist with citizen income: sanctions. The job center still has the opportunity to cut the already small budget by up to 30 percent.

When the job center cuts people’s benefits, it often means: existential fears, stress and starvation. In order to help people in this situation, the non-sanctions association was founded. The founder is Helena Steinhaus.

Help with money, legal advice and public relations

The work of the association, she says, consists of several pillars. On the one hand, sanctions-free, as the name suggests, provides support in the specific case of cuts, of course – but also in the event of other rejections by the job center. This so-called “individual aid” consists of legal assistance, but also of money that the association transfers to those affected. Another aspect of the association’s work: public relations.

“We want to change the system with strong criticism of the system,” Steinhaus clarifies. Without sanctions, it’s about ensuring that people who don’t go under because of insufficient social support from the state. “With marginalized groups, it can happen very quickly that they disappear into black holes,” says Steinhaus. And adds:

However, the uncomplicated financial support also accounts for a large part – according to their own statements, around 1250 permanent donors transfer money monthly without sanctions. In addition, there are always individual donations and large donations. More than 8,000 euros would come together a month for the solidarity pot, plus almost 6,500 euros for the association. The solidarity fund is also filled by the fact that amounts are repaid by recipients.

Transferring money to people receiving citizenship benefit is not that easy

And that is when sanctions-free has granted interest-free loans, for example. Because: Simply transferring money to someone who is receiving citizen money is not possible. Because there can only be a certain amount in the account of the recipient – otherwise the office will reduce it elsewhere. Steinhaus and Sanctions-Free avoid the problem with the loans, among other things.

“When in doubt, the job centers can then ask about the loan agreement,” Steinhaus clarifies. The money does not have to be repaid until the job center withdraws the sanctions and transfers the money in full. “Only at this moment would an overpayment arise,” says Steinhaus.

Unemployment benefit II became citizen benefit on January 1st.Image: dpa / Jan Woitas

For example, if there is a financial emergency and it is foreseeable that the office will have to pay later, the loan will be paid out. And with the request to transfer the money back if the job center then took over the costs. “In other cases, when it is clear that the office will not cover the costs, we transfer donations,” says Steinhaus. That is the much higher part.

These donations are about the so-called Table Paragraphs possible. It says:

And although the donations are legal, it happens again and again that job centers want to take this money into account. In the end, the lawyers from sanctions-free would have to take action against it.

High energy prices tear more holes

Inflation and the extremely high electricity prices in particular – which are not covered by the job center – are currently a burden on recipients of citizen income. Because the amount they get paid includes 42 euros per month for electricity – a sum that is currently barely enough.

Ever since the Russian invasion of Ukraine, Robert Habeck has been trying to contain the energy crisis.Image: IMAGO/Frank Ossenbrink

For many people affected by poverty, this means above all stress. Because if the bill is not paid – and if the job center does not approve a loan that will be offset against part of the standard rate from the coming month – there is a risk of the power cut quickly. The demand for Sanctions-free eV is therefore high.

As Steinhaus reports, when the energy flat rate was paid out last year, the association called for donations – if you don’t absolutely need it yourself.

Steinhaus says: “Since then, we’ve redistributed a lot of money to people who couldn’t pay their bills or who were already affected by power cuts. In total, we’ve paid out around 200,000 euros since last fall just for electricity costs.” In recent years, the association has also paid around 575,000 euros to people on Hartz IV and citizenship benefits.

Not much has changed as a result of the citizen money

It is clear, says Steinhaus, that even after the reform, the standard rates do not go far enough towards citizen income. The Joint Welfare Association calculated that it would take 725 euros for a decent life. Electricity costs, like heating costs, should also be borne by the office. Steinhaus shares this view – and many experts, as well as those affected by poverty themselves, repeatedly mention this sum in conversations with watson.

“The main thing that has changed as a result of the reform is the name,” says Steinhaus. And of course there is a system – because everyone who doesn’t deal with social assistance much gets the impression: “The citizen’s income, with the 50 euros more a month, is totally fair and people are finally treated as equals”, Steinhaus summarizes these possible feelings and replies:

Due to the possible sanctions, the recipients are also open to blackmail. Because even if there have been no zero sanctions for a few years – 30 percent of the 502 euro standard rate is just under 150 euros. In the event of a sanction, this would mean for the person concerned that they would have to get by with 352 euros in the coming months.

According to Steinhaus, this approach has nothing to do with motivation. It was clear to her that the sanction-free association was just a “drop in the ocean”. “In the end, it’s a battle against windmills,” she says. What is needed is a change in the system.