Weekly Proceedings in the German Parliament (Bundestag)

Germany Extends Support Measures Amid Energy Crisis and Global Challenges

In response to ongoing economic pressures and rising energy costs, the German government has announced extensions to its short-time work allowance (Kurzarbeitergeld) and introduced a one-time heating cost subsidy for low-income households.

As of mid-2025, Germany has extended its short-time work allowance to continue supporting employees and employers affected by economic challenges, including residual effects of the energy crisis. The exact terms of the extension are not prominently reported, but the government typically extends Kurzarbeitergeld to stabilize employment amid shocks, and given ongoing energy price pressures and economic uncertainty, such extensions are plausible.

To alleviate burdens and prevent social hardship for people with low incomes, the government has introduced a one-time heating cost subsidy. This subsidy, amounting to a €130 million package, is intended specifically for vulnerable low-income households. The payments are timed during the summer heating bill period to better assist households when they receive energy charges.

This measure forms part of wider fiscal efforts, including discounts such as a savings tariff with around €650 discount for households, as well as tax reductions and targeted payments to support various vulnerable groups. These subsidies respond to sharply increased electricity and gas prices in Germany—with electricity bills rising over 60% and gas bills similarly surging, impacting millions of households in 2022 and continuing into 2025 due to energy market volatility.

Meanwhile, Germany continues to support the United Nations Mission in the Republic of South Sudan (UNMISS), with the mandate of the mission being extended until 31 March 2023. The mission plays a key role in protecting the civilian population, ensuring lasting peace, and paving the way for elections in 2023. Germany makes an important contribution to UNMISS, currently represented by eleven soldiers, and the troop ceiling remains at 50 soldiers.

In addition, the government has provided low-interest loans and participation capital with a total volume of approximately 9.8 billion euros for medium-sized companies in the commercial economy and members of the liberal professions in 2022. The Bundestag will vote on the resolution recommendation of the responsible committee in the second and third readings on 18 February.

Other policy initiatives include the establishment of the Parliamentary Advisory Council for Sustainable Development (PBnE) to accompany the national, European, and international sustainability policy of the federal government in a cross-sectoral manner. The first reading of the draft bill is planned for 16 February.

The regulations in the Care Time Act and Family Care Time Act will continue to apply beyond 31 March 2022, and the maximum duration of short-time work allowance has been increased to up to 28 months. Minimum requirements and increased rates for short-time work allowance continue to apply, with 70% or 77% from the fourth month and 80% or 87% from the seventh month.

Furthermore, a national supply chain law has been passed, mainly at the insistence of the SPD-led Federal Ministry of Labour. Recipients of housing benefit, BAföG, Aufstiegs-BAföG, and training allowance or training benefits will also receive this subsidy, with recipients of housing benefit receiving a graduated amount based on household size. Recipients of (Aufstiegs-) BAföG will receive a per-capita subsidy of 115 euros.

The mandate of NATO's maritime security operation "SEA GUARDIAN", which will be regularly evaluated in the future, is to be extended until 31 March 2023 with a government proposal. The operation aims to secure maritime traffic in the Mediterranean and combat maritime terrorism and related illegal activities such as arms smuggling and human trafficking.

Finally, it's worth noting that since 1990, the number of hungry people worldwide has almost halved. This progress underscores the importance of international cooperation in addressing global challenges.

In summary, these measures reflect Germany’s significant policy focus on shielding vulnerable populations and maintaining economic stability amid the ongoing energy cost crisis. The details of the short-time work allowance extension past 2024 are not currently available, but the heating cost subsidy package for low-income households remains a recent and active measure as of mid-2025.