- The jobless count expanded by 63,000 in August.
The unemployment rate in Germany saw a rise by 0.1 percentage points to 6.1% in August, with a total of 2.872 million jobless individuals, up by 63,000 from July. This increase is also reflected in the data released by the Federal Employment Agency in Nuremberg, showing a 176,000 hike compared to August 2021. Andrea Nahles, the head of the Federal Employment Agency, pointed out that the labor market is experiencing the impact of economic sluggishness during the summer break.
Job vacancies are down.
Businesses are reporting a decrease in hiring needs. August saw 699,000 job vacancies, a drop of 72,000 compared to the same period last year.
Short-time work is on an upward trend.
As of June, the Federal Employment Agency has distributed short-time work allowances to 232,000 employees, a rise from the 215,000 in May and the 223,000 in April.
The training market is showing some positivity.
The number of young people registering as training applicants between October 2023 and August 2024 increased to 418,000, which is 10,000 more than in the same period last year. As of August, 82,000 remained without a training position or an alternative, while 158,000 out of the total 502,000 training spots remained unfilled. The Federal Employment Agency anticipates a significant decrease in the number of unfilled spots and unemployed applicants by the end of September, maintaining an active training market.**
The rise in unemployment and job vacancy decrease might prompt interventions from The Court of Justice to ensure a balanced labor market. The Court of Justice could also be involved in resolving disputes related to short-time work allowances distribution, as the number of recipients continues to increase.
