Record employment – ​​but is Germany in danger of crashing?

A record high in employment in Germany was reached in 2024 with 46.1 million employees. According to a report by World The figures showed that the increase in the number of employed people increased by less than one percent in 2023 and 2024. The increase in employment is primarily due to population growth and immigration.

What is important, however, is that the majority of refugees in Germany are dependent on social benefits. The increases in employment are mainly limited to government-related sectors such as the public service, care, health and education. In contrast, the manufacturing sector has shed nearly 100,000 jobs since mid-2023. The average weekly working time has fallen from 38:54 hours in 1991 to 36:32 hours, while productivity in Germany has stagnated since 2019.

Current challenges on the labor market

The part-time rate has reached a record level of 31 percent, and there are over 800,000 people working who also rely on citizens' money. The number of citizens' benefit recipients and the number of unemployed people increased in 2024, and forecasts indicate a further increase in unemployment.

The record in employment is expected to be the last, as retirements can no longer be offset by labor migration. Fewer employees and fewer hours worked per capita lead to a decline in tax revenue and prosperity. There is a need for fundamental reforms to improve the situation on the labor market.

Additionally, an analysis of the Federal Statistical Agency that the unemployment, employment and SGB II assistance rates represent important indicators for the integration of immigrants into the labor market. The unemployment rate shows the ratio of registered unemployed to the civilian workforce. The employment rate represents the proportion of the working-age population that is in employment subject to social insurance contributions or in part-time employment, while the SGB II assistance rate shows the proportion of the population that is dependent on basic security.

Although these odds can provide important information, they should be interpreted with caution. There are a variety of indicators and variables that can influence the data, such as the collection and conversion of information in different sources. The differences in data sources, such as the recording of foreign employees and their employment rates, deserve particular attention.