Corona pandemic: stress test for the social security system

The COVID-19 pandemic and response measures have triggered the worst recession since World War II. Certain groups of employees are better supported by the system of regulations for income and employment security and additional ad hoc measures than, for example, the selfemployed or marginally employed. Against this background, this report deals with the question of what adjustments might be appropriate to ensure that in future the social security system in Germany can guarantee a stabilization of earned income that is more appropriate to needs and better preserves social balance in the event of fundamental economic disruptions, which occur only rarely and with an indeterminable probability. To this end, the study analyzes how well Germany has achieved these goals in the course of the COVID-19 pandemic with its existing regulatory social security system, the adjustments made to it in response to the crisis, and additional ad hoc measures, and whether other countries have social security systems and instruments in place or have made adjustments to them that can be assessed as appropriate. In addition, it outlines starting points for making income and employment security more resilient in the future, should a severe global shock hit the economy and the labor market.