The German workfare scheme ‘One-Euro-Jobs’ that provides additional jobs of public interest for welfare recipients has a number of different goals. One the one hand, One-Euro-Jobs are intended to increase the participants’ employment prospects in the medium term. On the other hand, they...

With the introduction of a new welfare benefit system in 2005, Germany implemented quite strict benefit sanctions for welfare recipients aged younger than 25 years. For all types of non-compliance except for missing appointments, their basic cash benefit is withdrawn for three months. A second...

Imposing benefit cuts to job seekers who do not comply with rules and requirements has become a commonly used enforcement device in unemployment insurance (UI) systems. This paper provides first estimates of how non-compliant job seekers react when confronted with a stricter enforcement regime....