Labor market - Bleak economy causes unemployment to rise in MV
The number of unemployed people in Mecklenburg-Vorpommern increased again in December due to the generally gloomy economy and the typical seasonal slump in the tourism industry. Compared to the previous month, the number rose by 4.2 percent to 65,000, causing the unemployment rate to climb to 8.0 percent, as announced by the Northern Regional Directorate of the Federal Employment Agency in Kiel on Wednesday. In November, the rate was 7.6 percent. In December 2022, the number of people registered as unemployed in MV increased by 3,100 or 5 percent.
The increase compared to the previous month of November is typical for the season and therefore not unusual, said the head of the regional directorate, Markus Biercher. The subdued economy is leaving its mark on the manufacturing and construction industries in particular. In the country's tourist regions, the number of unemployed generally increased in December.
Despite the difficult conditions, however, the labor market remains stable. Among the districts, the Rostock district had the lowest rate at 6.0 percent and the Vorpommern-Rügen district the highest at 10.1 percent.
State Secretary for Economic Affairs Jochen Schulte emphasized that it remains a difficult time for the economy: "The effects of international events, high interest rates and high energy and raw material prices continue to cause problems for companies." The integration of refugees and migrant workers into the labor market is a key factor in securing the supply of skilled workers.
For example, there are currently around 24,000 Ukrainian refugees living in Mecklenburg-Vorpommern, almost two thirds of whom are women and around 8,100 are under the age of 18. According to the ministry, 3700 people with Ukrainian citizenship were employed in MV in September, 700 more than a year ago and 2600 more than before the start of the war.
Henning Foerster, spokesperson for labor market policy for the left-wing parliamentary group in the Schwerin state parliament, described an active federal and state labor market policy as essential. "Higher unemployment figures require targeted qualification and placement activities. It is also becoming more difficult for those affected by long-term unemployment to regain a foothold in the labor market. It is therefore right to once again provide financial support to employment agencies in the state."
The FDP parliamentary group's spokesperson for employment policy, Sabine Enseleit, emphasized that the tense economic situation is slowly having an impact on the number of unemployed. "Many of the problems can be attributed to the state government's sleepiness in terms of economic policy."
The employers in the northern German metal and electrical industry criticized the federal government's course in their review of 2023 under the heading "Traffic light harms the labour market". "Instead of drawing more people into the labor market, employment incentives are being further reduced through higher citizens' benefits and adherence to the billion-euro "pension at 63"," criticized Nico Fickinger, Managing Director of the employers' associations Nordmetall and AGV Nord.
Press release Regional Directorate North for MV Press release Ministry of Economic Affairs
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- The subdued economy is negatively affecting various industries in Mecklenburg-Vorpommern, including manufacturing and construction, leading to increased unemployment.
- In response to the rising unemployment rate, the Federal Employment Agency in the County of Rostock is implementing targeted qualification and placement activities to help those affected regain a foothold in the labor market.
- Despite the challenges, the tourism industry in Mecklenburg-Vorpommern, particularly its tourist regions, is experiencing a typical seasonal lull, contributing to the increase in unemployment.
- The Keel Shipyard in the city of Rostock, which is a significant contributor to the local economy, continues to operate and maintain its workforce, providing stability in the otherwise worrying labor market scenario.
Source: www.stern.de
