Federal government adopts plan against benefit fraud and worker exploitation
The federal government has adopted a nationwide plan against organised benefit fraud and worker exploitation, particularly in connection with migration from the EU. It combines rules already in force with measures that still need to be introduced or changed by law.
Action plan adopted on 23 September 2026 · some measures already apply, others require legal changes
What already applies
Since July 2026, Jobcentres have reported suspected undeclared work or minimum-wage breaches to customs. Under SGB II, employers can be liable since 1 July 2026 for excess benefits paid when employment was not reported, was underreported or was only fictitious.
What still has to be implemented
The plan provides for faster data exchange between authorities, a corresponding liability rule under SGB XII, clearer guidance for public bodies and legislative amendments. It also plans to exclude people wanted under enforceable arrest warrants from SGB II and SGB XII benefits by law. Not every point automatically became applicable on 23 September.
Protection against exploitation
The government intends to pursue organisers more effectively, improve protection and advice for victims, and inform workers before they leave their country of origin. The announcement does not introduce a blanket benefit exclusion for EU citizens who are lawfully entitled; eligibility continues to be assessed individually.
General information as of publication. Individual circumstances and the responsible institution’s rules may require additional documents or steps.
