Employment in Germany at Highest Level in Last 25 Years

The number of employed persons in Germany reached its highest level in over 25 years in the third quarter, in the context of a massive wave of refugees that the largest European economy is trying to integrate into its labor market.

In the quarterly period ending in September, the number of employed persons in Germany increased by 0.8 percent compared to the same period last year, reaching a total of 43.2 million citizens, the highest since the reunification of Germany, announced on Tuesday by Destatis – the Federal Statistical Office.

The figure includes citizens “aged 15 years and older who perform a specific job for at least one hour for pay or are in employment, or who are self-employed, freelancers, owners of businesses or agricultural holdings, or who assist without pay in a family business as family members.” The number of employed persons increased by 343 thousand compared to the third quarter of 2014, or by 303 thousand or 0.7 percent compared to the previous three months, which is interpreted as solid performance of the German economy. According to prošlomjesečnim podacima Savezne agencije za rad (BAA), stopa nezaposlenosti iznosi 6.4 percent and is also at its lowest level since reunification in 1990.

The German Institute for Employment Research (IAB) expects that the German labor market will integrate 324 thousand working-age refugees this year. For next year, it is projected that this number could rise to 610 thousand. Analysts and the government in Berlin also expect that the number of unemployed in Germany will increase next year as many newly arrived refugees do not speak German or possess the necessary qualifications. In October, there were 612,236 job vacancies in Germany, which is 18.3 percent more than in the same month last year, reported the local employment agency last month. 

Germany lacks qualified workers in areas such as transport, logistics, metal processing, and engineering, according to data from that agency.

This year, official estimates expect a total of 800 thousand refugees to arrive, although that number is likely to exceed one million, notes the Dpa agency.