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Policy Article

German Unemployment insurance: scope for lowering the contribution rate (in German)

Kiel Policy Brief, 129

Authors

  • Boss
  • A.

Publication Date

Key Words

Budget Surplus

Reduction of Contributions

Social Insurance

unemployment insurance

Related Topics

Welfare State

Labor Market

Fiscal Policy & National Budgets

Germany

Economic Policy in Germany

Despite the gloomy economic outlook for Germany, the Federal Employment Agency will continue to generate surpluses in 2019 and 2020. The author shows that the general reserve of the Federal Employment Agency (23.5 billion euros at the end of 2018) will continue to rise. He therefore considers a further reduction in the contribution rate to be appropriate in view of the extremely high reserve.

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