Reform of the social welfare system relies on BundID and EUID Wallet

The federal government and the states want to undertake a major reform of the German social welfare system. A commission of representatives from the federal government, the states, and municipal umbrella organizations presented a concept for a "modern and digital social welfare system" on Monday. The goal is to reduce excessive bureaucracy and allocate social benefits more efficiently.

"Consistent Digitization"

The "consistent digitization" of German social bureaucracy is intended as the central lever. In the future, all benefits should be "accessible via a social portal," explained Federal Minister of Labour and Social Affairs Bärbel Bas (SPD). The CDU/CSU and SPD had agreed in their coalition agreement to establish a commission to reform the social welfare system.

According to the commission's proposal, a BundID and the EUDI Wallet will be required to apply for social benefits online. "All interactions between the social administration and citizens should fundamentally be possible via the portal," the commission's Final report states.

Everyone must participate

"The social welfare system of tomorrow will be simpler, fairer, and more digital," promises the minister and SPD leader. The first quickly implementable measures could be completed by mid-2027. "If everyone participates, we will succeed," said Bas.

For more fundamental structural reforms, the federal government and the states should develop a concept by then and initiate necessary legislative changes, the commission recommends. "I want to say that this is also very ambitious, but if all levels work together, it is achievable," said Bas.

(vbr)