State Program to Combat Long-Term Unemployment – Social Labor Market

This funding program is aimed at actors who support long-term unemployed individuals and long-term benefit recipients in the Free State of Saxony on their way back to employment. Primary grant recipients are job centers, which forward the funds to employers and measure providers. The main goal is to strengthen the vocational and social participation of the target group.

The program supports various measures for the integration of long-term unemployed individuals, from individual coaching to job acquisition, employment in the social labor market, and innovative approaches. Project-related personnel and material expenses, as well as flat rates for additional costs, are supported. The funding is geared towards specific measures and fields of activity.

Funding is primarily provided in the form of grants, awarded as fixed-amount financing. The amount of the grant varies depending on the funding module and can be a monthly flat rate or project-related. The funding period is generally limited to 24 months but can be longer for participant-related measures. The application of de minimis regulations or the General Block Exemption Regulation (GBER) influences the aid intensity.

To utilize the funding, specific conditions must be met, concerning both the application process and project implementation. These include qualification requirements, budget specifications, and compliance with European state aid rules. Particular emphasis is placed on sustainable integration and the avoidance of double funding.

The application for funding is submitted by the job centers to the Sächsische Aufbaubank (SAB). The procedure requires detailed information on the initial situation, objectives, and financing plan. The SAB makes the approval decision at its own discretion and within the framework of available budget funds. The job centers are responsible for examining and documenting the use of funds by the final beneficiaries.

The State Program to Combat Long-Term Unemployment is legitimate through a specific funding guideline of the Saxon State Ministry for Economy, Labor and Transport. This guideline is based on the budgetary provisions of the Free State of Saxony and relevant social security codes. Furthermore, the funding is subject to European state aid regulations.