ILPC 2027

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The Impact of Activating Labor Market Policies on Labor Market Orientations in Germany

With the ‘Hartz-reforms’ in the years 2003 to 2005 German labour market politics have undergone a drastic change. Having long been considered a latecomer in the establishment of activation programmes Germany is now given greater attention within European countries. But although unemployment has reduced noticeably and the German labour market appears robust in the financial crisis the new labour market policy is highly contested. One major argument centres around the new perspective on the causes of unemployment, which are now seen as a matter of individual deficits – foremost being unwilling to work.  Based on this assumption, benefits have been cut back quite rigidly and control as well as punishment have been given greater importance.

The contribution focuses on the institutional implementation as well as the individual consequences of those policy changes in Germany. In our research project we approach this topic from the perspective of the jobseekers. Analyzing the interrelation between the new labour market policy and its effects on individual work orientation, we conducted a qualitative longitudinal survey of the group targeted by the most recent reforms. We put particular emphasis on their strategies of dealing with their position in the labour market and the "rights and responsibilities" they are given by the new labour market regulations. We can show that the new activation programme doesn't reflect the heterogeneity of unemployment. Instead its standardised procedures produce a number of unintended effects such as stigmatisation and social exclusion.