State subsidy for small and medium-sized enterprises (employment subsidy)

The state subsidy for small and medium-sized enterprises (SMEs) in Berlin offers financial incentives to supported companies for the creation of additional socially insured jobs. The goal is to strengthen good work and combat long-term unemployment by providing companies with a subsidy of up to €17,000 for permanent employment contracts. Eligible are individuals residing in Berlin who have either been unemployed for at least six months, employed recipients of citizen’s income (including marginally employed and self-employed persons), participants in publicly funded employment and qualification measures, or mini-jobbers transitioning into socially insured employment. Requirements include a business location in Berlin, a weekly working time of at least 35 hours, and payment of at least the Berlin state minimum wage. Freedom from dismissal in the deployment department as well as the conclusion of an employment contract for at least twelve months must be ensured.

Applications must be submitted before the commencement of the employment relationship to zgs consult GmbH as trustee of the Berlin Senate Department for Labour, Social Affairs, Equality, Integration, Diversity and Anti-Discrimination. Required documents include, among others, a fully completed application form, a certificate from the Jobcenter or the Federal Employment Agency, business registration or commercial register excerpt, a form confirming compliance with the state minimum wage, and a de minimis declaration. Funding can be applied for over 12 to 24 months, as long as budget funds are available. This program is aimed at Berlin SMEs that wish to increase their competitiveness while simultaneously integrating socially disadvantaged target groups into the regular labor market.