New research has revealed that cuts proposed in the 2027 Federal Budget targeting the social sector will disproportionately affect women, with an estimated 60 percent of those involved being women.
According to the study, presented by the German Women’s Council and the Future Department in Berlin on Monday, the reductions span several areas, including housing benefits, daycare services (Kitas), the immediate supplement added to the child allowance, maintenance advances, and both nursing and health insurance. In total, the cuts amount to €8.4 billion, of which approximately €5 billion is projected to impact women.
The study’s researchers pinpoint the unequal distribution of unpaid care work as the primary cause of this overrepresentation. Women currently invest nine hours more per week into childcare, caregiving, and household duties than men; this often forces women into part-time work or interruptions in their careers. Consequently, this pattern has led to women in West Germany earning 45 percent less than men over their working lives and being significantly more reliant on social benefits.
The report further suggests that specific targeted reforms could ultimately reduce the need for social services. These reforms include expanding the availability of daycare, full-day care, and nursing placements, along with reforming the spousal tax split system. Such measures, according to the researchers, would ease women’s ability to participate in the workforce and boost overall labor potential. If adopted, this reform package could increase the number of employed women by 209,000 full-time equivalents by 2031, simultaneously easing pressure on public budgets by €4.5 billion.
