Germany’s cabinet approved a 10-point plan against social benefit fraud on September 23, 2026. The plan targets sham jobs and organized exploitation schemes tied to EU migration. Some measures have been in force since July 1, 2026.
Who Does Germany’s 10-Point Plan Target?
The 10-point plan targets three groups involved in organized abuse:
- Employers who under-report jobs to shift costs onto the state
- People who claim basic income support while wanted on an enforceable arrest warrant
- Landlords running substandard Schrottimmobilien (slum properties) tied to fraud
Labor Minister Bärbel Bas and Interior Minister Alexander Dobrindt presented the 10-point plan together. Both ministers described it as a way to protect the welfare state (Sozialstaat), not as a move against foreign workers.
Dobrindt said the government is “closing loopholes in the welfare state.” He also said the 10-point plan shows clear resolve against fraudsters.
Germany still wants foreign skilled workers, and EU free movement is not being restricted.
EU citizens face the most risk if they register as working minimal hours purely to unlock Bürgergeld top-ups. Those top-ups are extra Bürgergeld (Germany’s basic income support) paid on top of a low salary.
The German government’s 10-point plan relies on the 2015 Alimanovic ruling from the EU Court of Justice for this group. The Alimanovic ruling allows EU countries to restrict benefits for EU citizens who are looking for work but not working.
Which 10-Point Plan Measures Are Already in Force?
Germany’s 10-point plan bundles ten measures at three different stages:
| 10-Point Plan Measure | Status as of September 2026 |
|---|---|
| Employers repay overpaid basic income support (SGB II) when they fail to register a Minijob or a standard social-security-liable job properly | In force (July 1, 2026) |
| Job centers (Jobcenter) get automatic notice of residency status changes | In force (July 1, 2026) |
| Job centers report suspected undeclared work (Schwarzarbeit) to customs authorities (Zoll) | In force (July 1, 2026) |
| People with an enforceable arrest warrant would lose basic income support under SGB II (Bürgergeld) and SGB XII (social assistance) | Pending (needs SGB II/XII amendments, end of 2026) |
| Municipalities would get stronger legal tools against Schrottimmobilien, including new expropriation powers | Pending (end of 2026) |
| A new competency center for benefit fraud inside the Bundesagentur für Arbeit, with five regional offices to speed up enforcement | Ongoing |
| Prosecutors get expanded tools against organized exploitation schemes | Ongoing |
| Victim protection is strengthened | Ongoing |
| Germany pushes the EU Commission to review free-movement rules | Ongoing |
| “Know before you go” campaigns explain German labor standards in EU countries of origin | Ongoing |
