Normally with governments with or without open border policies, the status of refugee isn't automatic, with the government trolling applicants making them
wait and wait for a decision (i.e. UK government) since it gives people equal footing with full citizens without having to pass any tests or requires any fees (they're fleeing from war so no language barriers or revokation based on language since that would be trolling). Basically if someone is given protection on the basis of the Refugee Convention or Article 3 of the ECHR it cannot be revoked based on language or used as a barrier to apply for it in the first place.
If you have refugee status, you don't have to pass any tests since you're fleeing war etc. and you can work legally and get benefits just like regular citizens. Unless Germany redfines legally what refugee means and what they can expect once becoming one (as opposed to an Asylum Seeker - someone who hasn't been vetted).
So i'm guessing all these people don't have refugee status yet? This way they can create language requirements and it will not lead to undermining the legal status of "refugee" since they never where given that legal status yet (being able to work legally etc.) But this begs the question with language being used as a barrier to apply for Asylum in the first place. If the following explicitly states they cannot be penalized for illegal entry what moreso than some language requirement?