Germany’s unemployment rate rose slightly in August compared to the previous month, rising by 0.1 percentage points to 6.1%, according to initial estimates published by the Federal Labor Agency on Friday.
The total number of unemployed in Germany rose by 63,000 to 2.872 million in August compared with July due to seasonal factors, the agency said. The total is 176,000 more than in August 2023.
The Federal Agency for Labor based the estimates on figures available up to and including August 14.
“The labor market continues to feel the effects of economic stagnation. Unemployment and underemployment continued to rise during the summer holidays,” said Andrea Nahles, president of the Federal Labor Office.
The demand for employees by German companies is also decreasing, according to figures from employment agencies. In August, a total of 699,000 vacancies were registered with employment agencies, 72,000 fewer than a year ago.
Short-time work, where German companies can agree to reduce workers’ hours instead of laying off workers during recessions, is on the rise. The number of workers claiming short-time benefits rose to 232,000 in August, up from 215,000 in May and 223,000 in April.
The situation on the training market looks more favourable.
From October 2023 to August 2024, 418,000 young people registered as candidates for an apprenticeship or training position. That is 10,000 more than in the same period last year.
In August, 82,000 had found neither a training place nor an alternative. At the same time, 158,000 of the total 502,000 training places offered by companies had not yet been filled.
According to the Employment Agency, the number of unplaced applicants and the number of vacant training positions will drop significantly until the end of September and the market is still in flux.
