The expansion of employment-centered family policies of the Grand Coalition in Germany came with some surprise, as Christian Democrats have traditionally been strongly committed to the male breadwinner model and corresponding family policies. This article investigates why Christian Democrats (though with some inconsistencies) promoted “social-democratic” family policies guided by the adult worker rather than by the male breadwinner model. Illuminating the politics of recent family policy reforms, the electoral rationale for this modernization of family policy, the role of political entrepreneurship, and intraparty political conflicts over the new policy paradigm are discussed.

The `Hartz legislation' of 2003/04, which restructured the benefit and administrative system for the long-term unemployed in Germany, is commonly ascribed to the recommendations made by the Hartz Commission and the political leadership of Chancellor Schröder. These aspects have been crucial politically in policy making, but are insufficient to fully explain this legislation. Here it is argued that the Hartz Commission was largely insignificant in Policy formulation instead learning prior to the Commission located in an expert forum by the Bertelsmann Foundation as well as a Ministry of Labour project group explains the direction and content of this reform. The case of the Hartz legislation, whereby the `frozen welfare state' of Germany critically departed from its conservative path, provides strong support for the significance of learning in major social policy reforms.

In this article we argue that Germany has significantly changed its approach to labour market policies (LMPs) during the past decade; in many instances Britain has served as a model to learn from. In a first step, we identify the core institutional arrangements of the conservative approach to LMP in Germany and contrast them with the liberal approach, using the UK as an example. Secondly, we trace the development and nature of changes in German LMP since the 1990 s. We show that the policy has increasingly incorporated elements of, and to a considerable extent shifted towards, a liberal approach. Thirdly, we review competing theoretical approaches that might explain this turn in LMP and conclude that changed interpretative patterns have been crucial to understand the overall shift. Fourthly, utilizing the policy transfer framework, we show that in regards to the specific policy instruments German policy-makers have learnt from the experiences in the UK.

Recent welfare reforms across the Organisation for Economic Co-operation and Development (OECD) have sought to make social policies more “employment friendly.” Although “old” social policies of the Golden Age (namely, unemployment protection and old-age security, which were typically geared toward the male breadwinner model) were subject to comprehensive retrenchment, “new” social policies, especially family policies facilitating work–family reconciliation and female employment participation, experienced substantial expansion. Following the Swedish “pioneer,” strong male breadwinner countries have expanded employment-oriented family policies since the late 1990s. Against the case of early family policy expansion in Sweden (typically associated with social democracy and an organized women’s movement), they examine whether the drivers of employment-oriented family policy have changed since the end of the Golden Age. The authors highlight party competition as key political driver in policy expansion in “latecomer” countries, whereas postindustrialization (in particular the rise of the new social risk of work–family conflicts, as well as wider changes in the skills profile and needs of postindustrial economies) provides the functional underpinnings for these policies.

With a shift in the political debate to more market-driven