Germany's Habeck defends bonus for those returning to workforce

German Economy Minister Robert Habeck said on Tuesday that he still believes that a planned bonus payment for long-term unemployed people who start work makes sense, despite criticism.

Habeck said he understands that people who are already working jobs will wonder why the government would pay others €1,000 ($1,090) just to start working.

"Well, one reason is that they wouldn't work otherwise," Habeck, a Green, said.

Under the plan approved by Germany's Cabinet, people who return to work for at least 12 months would receive the bonus. The scheme is set to go into effect on January 1, 2025.

He said experts have forecast that the bonus would bring an estimated 100,000 people off long-term unemployment benefits and into the German workforce.

It's obvious that people want incentives to work, Habeck said.

"Just saying 'well, it's better to work, to get up, not to be lazy,' is not always the right thing to do," said Habeck.

He said he's familiar with arguments about envy or resentment, but now is the time for the country to try to solve an issue pragmatically.

"That would be one way," Habeck said.

However, scepticism about the impact of the plan has also been heard from the government recently.

German Chancellor Olaf Scholz remarked recently that he did not share many people's theory that people would be lured into work.