Ultimately, the current Bürgergeld system will be retained but restructured into a new basic security system for job seekers, aiming to enhance its effectiveness.

On June 4, 2025, Federal Labor Minister Bärbel Bas announced plans to combat organized abuse of social benefits, particularly focusing on the Bürgergeld program.

Describing these operations as 'mafiöse Strukturen' (mafia-like structures), Bas emphasized the urgent need to dismantle such exploitative arrangements.

To effectively tackle this issue, Bas stressed the importance of improved data sharing among tax authorities, job centers, family benefits offices, and security agencies.

Bas intends to analyze these studies and reports before presenting her proposals for reform later in 2025.

Bas highlighted that exploitative networks lure individuals from other European countries to Germany with offers of mini-job contracts, encouraging them to apply for Bürgergeld, only to siphon off state funds illegally.

However, Bas drew a line at imposing strict sanctions on households with children, affirming that the minimum living standard must always be guaranteed.

All beneficiaries of social assistance will have a duty to cooperate, and Bas plans to evaluate studies and reports to propose further reforms within the year.

Regarding reforms to the Bürgergeld, Bas stated that the current government plans to retain the program's basic structure while changing its name and instituting reforms for benefit adjustments based on price developments.

These adjustments will align Bürgergeld with price developments and introduce faster sanctions for non-compliance, addressing criticism over the significant increase in benefits last year.

She reiterated the necessity of ensuring that any reforms uphold the minimum living standard, particularly for vulnerable groups.

In addition to these reforms, Bas called for stricter verification of individuals' rights to free movement to prevent exploitation, as some individuals are reportedly exploited as day laborers.