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More long-term unemployed: Skilled workers are retained

The weak economy is having an impact on the Thuringian labor market. The number of unemployed fell only slightly before the summer vacations. The good news: companies are keeping their skilled workers.

A red traffic light shines in front of a sign indicating the employment agency.
A red traffic light shines in front of a sign indicating the employment agency.

Work - More long-term unemployed: Skilled workers are retained

The number of unemployed in Thuringia has only slightly decreased before the summer holidays. In June, 67,100 women and men were registered as unemployed, as the Regional Directorate of the Federal Employment Agency announced on Friday. This is 700 fewer than in May. The unemployment rate was 6.1 percent. A year ago, it was still 5.7 percent.

The number of long-term unemployed increased by around 2500 compared to June 2023. 23,300 unemployed were registered as having been jobless for over a year - their share rose slightly compared to the previous year to 34.8 percent. At employment agencies and job centers, there were 6,400 unemployed with Ukrainian origin - 200 more than in June 2023.

The good news despite economic problems: "Companies are holding on to their trained employees in the context of the skilled labor shortage, and we have almost 800,000 socially insured employees in the country," said the head of the Regional Directorate, Markus Behrens.

"Unemployment decreased particularly among men in June. The number of unemployed youth increased slightly, however. There were fewer withdrawals from unemployment. In this month, there was a placement surplus primarily in temporary work," informed the agency head. "Overall, this development corresponds to the seasonal pattern in a weak labor market dynamics." Employers often only hire after the end of the vacation period.

Almost every fifth job in temporary work

Employers reported 3,300 new jobs in June, which was 600 more than in the previous month and 100 more than a year ago. Around 23 percent of the newly reported jobs came from economically related services, of which 19 percent came from temporary work. The weak economy also led to short-time work. 80 advertisements from employers went in, affecting 1,200 employees. Those affected were mainly the metal industry and machinery construction, according to the Regional Directorate.

The DGB district chairman Hessen-Thuringen, Michael Rudolph, demanded sufficient funding for job centers from the federal government. "The urgent warning from the Employment Agency and the municipalities that the planned savings for 2025 would endanger the work of the job centers is almost absurd in the context of the debate on citizens' income and the skilled labor shortage," he said.

  1. Despite the decrease in unemployment during summer vacation, the specialized employment office in Erfurt is still actively addressing the skills shortage in Thuringia.
  2. Many men in Thuringia found employment during this summer vacation, contributing to the reduction in the overall unemployment rate.
  3. Some employers in Thuringia, such as those in the metal industry and machinery construction, have resorted to short-time work due to the economic situation, impacting about 1,200 employees.
  4. A specialist in the employment office noted that women continue to face higher unemployment rates compared to men, despite the slight decrease in the unemployment rate before summer vacation.
  5. To combat the unemployment issue in Thuringia, the DGB district chairman, Michael Rudolph, has urged the federal government to provide sufficient funding for job centers, considering the ongoing debate on citizens' income and the skilled labor shortage.
  6. In the labor market of Thuringia, around every fifth job is in temporary work, contributing to almost 2,000 newly reported jobs in June.

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