Labor market - Unemployment falls slightly: modest recovery expected
The number of unemployed in Saxony has stagnated. In June, 136,220 people were reported unemployed, 850 fewer than in May, as the Regional Office of the Federal Employment Agency announced in Chemnitz on Friday. The unemployment rate remained unchanged at 6.4 percent, which was 0.4 percentage points higher than the previous year. The Federal Employment Agency based its statistics on data that was available up to June 13.
"This decline is mainly due to an increase in funding measures. However, an increase in sick reports also statistically supported this decline. We are feeling the effects of the dampened mood in the economy," said the head of the BA Regional Office, Klaus-Peter Hansen.
According to the given data, only 6,800 people found new employment in June. At the same time, Saxon companies reported only around 5,700 new job openings, the lowest June figure in the past 24 years. However, there are still 35,500 job openings. "This shows that companies, despite the existing challenges, continue to hire employees, especially when it comes to skilled workers," emphasized Hansen.
The employment agency expects an increase in youth unemployment in the summer months. The reason is that a large number of young people, who have completed their training, still do not have a follow-up employment and the new generations do not start until August or September. Hansen also expects only a moderate revival of the labor market in the fall. "The uncertainty factors in the economy are currently too large."
In regional comparison, the districts of Saxon Switzerland-Ore Mountains (5.0 percent) and Erzgebirge and Zwickau (each 5.1 percent) had the lowest unemployment rates in June. The cities of Chemnitz (8.8 percent) and Görlitz (8.7 percent) continued to have the highest unemployment rates.
According to the Regional Office, employment in Saxony remains at a high level. According to calculations, 1,64 million people were employed in socially insured employment in April. Compared to the lowest point in April 2005, there were 316,000 more employed persons.
- The Federal Employment Agency in Chemnitz reported that the unemployment rate in Saxony remained at 6.4% in June, despite a decrease in the number of unemployed people.
- The decline in unemployment in Saxony can be partly attributed to an increase in funding measures and sick reports, as revealed by the head of the BA Regional Office, Klaus-Peter Hansen.
- Despite the current economic challenges, Saxon companies reported around 35,500 job openings, indicating a continued effort to hire skilled workers, as mentioned by Hansen in relation to the Federal Employment Agency's statistics.
- The Federal Employment Agency anticipates an increase in youth unemployment in the summer months due to a high number of unemploied young people after their training and the delay of new generations starting work in August or September.
