- Unemployment rises more sharply than usual in summer
The number of unemployed in Germany rose more than usual in July. According to the Federal Employment Agency, the number of jobless people increased by 82,000 from the previous month to 2.809 million. The rate stood at 6.0 percent, up 0.2 points from June.
The current economic momentum in Germany has slowed, the Federal Employment Agency's monthly report states. "The weak economic development is burdening the labor market. Unemployment and underemployment have risen more than usual at the start of the summer break," said board member Daniel Terzenbach.
Compared to the same month last year, the number of unemployed even increased by 192,000.
At the same time, the number of vacant positions reported to the Federal Employment Agency also decreased. 703,000 open positions were registered, 69,000 fewer than a year ago.
The Federal Employment Agency still sees movement in the training market. 121,000 job seekers had not yet found a training place or an alternative training opportunity in July. On the other hand, there were 204,000 reported open training positions in companies. The numbers are expected to decrease further over the summer months.
According to current data from the Federal Employment Agency, 58,000 people were registered for short-time work due to the business cycle from July 1 to 25 - a good third more than in the previous month. Whether the short-time work will actually be taken up is unclear. With the notification, companies merely report the expected work stoppage.
The increasing unemployment in Germany might impact the Employment and Social Security system significantly, as more people seek assistance due to job losses. The current economic issues are also affecting employment prospects, leading to an increase in both unemployment and underemployment.
