Between welfare and work: households in Germany's unemployment benefit II system

Abstract

"In Germany, we observe a growing number of households receiving payments from the unemployment benefit II system -basic social welfare- while individual members of these households are employed. Our analysis of this population, situated between welfare and work, draws on data from the newly established household panel 'Labour Market and Social Security'. In a first step, we examine possible explanations of this phenomenon by looking at household composition, hourly wage rates and working time per week. In a second step, we take a closer look at selected subgroups with respect to potential impediments to an expansion of working time that would, potentially, enable a number of households to leave welfare. It turns out that the group under consideration is heterogeneous. In some cases, successful transition from welfare to work is hampered by individuals' health status. In other cases, low education or lack of childcare facilities is identified as the main impediment. From a policy perspective, these findings suggest that an integrated approach is called for, involving not only instruments of active labour market policy, but also of social, family and health care policy." (Author's abstract, IAB-Doku) ((en))

Cite article

Dietz, M., Müller, G. & Trappmann, M. (2009): Bedarfsgemeinschaften im SGB II: Warum Aufstocker trotz Arbeit bedürftig bleiben. (IAB-Kurzbericht 02/2009), Nürnberg, 10 p.