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Press Statement Unemployment Benefits: “Cuts Will Only Accelerate the Shift to a Basic Income”

IG Metall’s Social Affairs Director Hans-Jürgen Urban comments on BDA Chief Executive Steffen Kampeter’s call to limit unemployment benefits to just one year.

IG Metall, Mainforum, Gebäude, Fahnen

30 October 2025 30 October 2025


“This proposal is completely off the mark! Cuts to the welfare state are extremely irresponsible, especially now.

Older people aren’t unemployed because of a lack of motivation, but because of a lack of opportunities. Studies show that older unemployed people have a much harder time finding work again. Even in times of a skilled labor shortage, age discrimination in the job market is a constant reality. Above all, employers need to change their attitude toward older skilled workers. Cutting unemployment benefits only pushes older people into the basic income program faster. This reduces their chances in the job market rather than increasing them.

People who have become unemployed need support with continuing education, career reorientation, and job searches—not benefit cuts. Instead of putting more pressure on the unemployed, employers should do their part: offer good jobs in Germany rather than relocating to low-wage regions, closing facilities, and scaling back their training programs.”

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