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The German Welfare State: Principles, Performance and Prospects After Unification

This article presents an overview of the institutional architecture and the organizing principles of the German welfare state, which is widely and rightly considered to be the model case of North West European Continental welfare states. The author's ambition is to be both systematic and historical in his presentation, emphasizing the process in which different layers of the historically evolved structure serve certain functions, such as poor relief, the protection of workers at work, the protection of workers outside of work, the determination of wages, and the level of employment. In the second part of the essay, the question under discussion is of what happens to this structure under the impact of German unification, European integration, economic `globalization', and lasting labor market disequilibrium. The third and final part outlines a policy proposal that aims at the strengthening of social citizenship rights which replace the `worker' as the reference unit of social protection with the `citizen'.

Key Words: citizenship • employment • globalization • social protection • unification

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