The increase in the daily allowance will be abolished

Topics

• Income security
• Law change

Parliament has approved an amendment to the law that will abolish the increased earnings-related component at the turn of the year. In future, the same amount of earnings-related daily allowance will be paid for the period of employment promotion services that start after the amendment as if the person were unemployed. At the same time, the increase in the mobility allowance will also be abolished.

Increased daily allowance

We can pay you an earnings-related daily allowance at a higher rate when you take part in an agreed employment support service provided by the Employment Services. Parliament has approved an amendment to the law that will abolish the increase from 1.1.2025, and participation in the service will no longer affect your earnings-related daily allowance.

Next year, we will only be able to pay the increased earnings-related daily allowance if the employment promotion service started before the law came into force.

The change in the law will not affect the 9 € reimbursement of expenses that we can pay for the duration of some employment services.

The mobility allowance’s increased component will also be abolished

With the change in the law, we will also abolish the mobility allowance increase from 1.1.2025.

We can pay you a mobility allowance if, as an unemployed person, you take up a job that is located a longer distance from your place of residence. You may have been eligible for an increased mobility allowance if your job is more than 200 km away. This increase is no longer available for mobility allowances awarded for work that starts on or after 1.1.2025.

Impact of the change in the law

If you are not in an employment promotion service, you will not receive an increased daily allowance. In that case, the change in the law will not affect the amount of your daily allowance. This is the case for about 90% of people on benefits.

If you are already in an employment promotion service, we can pay you an increased earnings-related daily allowance for the duration of the service.

If you are in an employment promotion service starting on or after 1.1.2025, we cannot pay you an increase in your earnings-related daily allowance.

The effect in euros of the withdrawal of the increase in the earnings-related daily allowance depends on your income level before you became unemployed. The higher your earnings-related daily allowance, the greater the impact. For most people, the removal of the increase will cut their benefit by around 60-260 € per month.