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Vienna Plans to Make Significant Savings on Minimum Security

Bei der Mindestsicherung will Wien 200 Mio. Euro einsparen.
Bei der Mindestsicherung will Wien 200 Mio. Euro einsparen. ©APA/HANS KLAUS TECHT
Vienna reduces access to minimum security benefits. According to the office of Social City Councillor Peter Hacker (SPÖ), the various measures are expected to lead to savings of around 200 million euros. The regulations are set to take effect at the beginning of 2026.

Among other things, Vienna will cut back on people with subsidiary protection. They will no longer be entitled to minimum security benefits in the future. This group will also fall under the basic provision category in Vienna. At the same time, it is assumed that the corresponding legal regulations at the federal level will be reformed within the framework of the European Asylum and Migration Pact, as emphasized.

Savings in Minimum Security Benefits in Vienna Also Apply to People Already in the System

This means that benefits for those entitled to subsidiary protection would be adjusted to a "subsistence level," it is confidently stated. Until then, all those affected will be transferred to basic provision. This also applies to refugees who have already been granted status - and not just to people who will be newly admitted to the system next year. This is the latest measure in this area. It has long been known that amounts earmarked for housing will also be deducted from the housing allowance for children in the future. Shared apartments will also be equated with families, which is expected to bring cost reductions.

Specifically, the minimum standard for couples will be applied in the future. Because even if these people are not a family, they still form a joint and not several individual households. Certain costs are shared, the Hacker office is convinced. However, there will also be exceptions, it is said. People with disabilities in supervised shared apartments or single parents in multi-generational households, for example, are not affected by the new regulation. The incentive system for younger people will also be expanded. Special payments for people unable to work and people of retirement age will also be reduced.

Number of Minimum Security Benefit Recipients in Vienna Decreased

According to the Hacker Office, the number of people receiving minimum income support in Vienna has decreased over the past twelve months. Last September, around 135,000 people were entitled to such benefits. A year ago, there were about 3,000 more people, it was reported. According to the city hall, 55 percent of the recipients are not available to the labor market - as the vast majority are children and people with disabilities. In most cases (104,500), the minimum income support is a supplement. This means that the income of the affected household alone is not sufficient to exceed the minimum income threshold (1,209.01 euros for single individuals).

Criticism of Savings in Minimum Income Support in Vienna

"Children and adolescents, as well as people with chronic illnesses, are already exposed to a multitude of burdens and disadvantages," said Diakonie Director Maria Katharina Moser in a statement on Wednesday. The planned changes would mean that many affected individuals could no longer pay their rent. "Overall, this step leads them into acute poverty and homelessness and further worsens their chances of education, participation, and integration," Moser said. Caritas Vienna Director Klaus Schwertner criticized on social media that families with children were particularly affected. He expressed understanding for necessary savings measures, but the federal states should not undercut each other in support services. "A rollback of social security is not a savings program, but a risk to social cohesion," Schwertner wrote.

FPÖ, ÖVP, IV Want Further Savings in Minimum Income Support in Vienna

The Vienna Greens also criticized the cuts for "particularly vulnerable groups." Measures such as the abolition of the parental family allowance would "massively" exacerbate child poverty in the city, it was stated in a release. FPÖ and ÖVP saw it differently, as the plans did not go far enough for them on Wednesday. The managing director of the Vienna Federation of Industries (IV), Johannes Höhrhan, welcomed the savings in minimum income support via a statement. He also positively assessed cuts for party academies and public relations, but overall saw "light and shadow" in the budget. It is regrettable that the city "cannot achieve a purely expenditure-side budget consolidation," Höhrhan said. He sees the increase in fees and housing subsidy contributions as problematic.

(APA/Red)

This article has been automatically translated, read the original article here.

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