Germans work the least: A wake-up call for politicians!

Germans work the least: A wake-up call for politicians!

A current study by the German Economic Institute (IW) shows that working hours in Germany in 2023 will be significantly behind those of many other economic nations. With around 1,036 hours worked per inhabitant of working age (from 15 to 64 years old), Germany ranks third from last within the Organization for Economic Cooperation and Development (OECD). Only France with around 1,027 and Belgium with around 1,021 working hours perform worse. This represents a decrease compared to approximately 1,013 hours worked in 2013, indicating that working hours are trending down.

IW labor market expert Holger Schäfer explains that although working hours have increased since reunification, significantly less work is being done compared to the 1970s. In an international comparison, countries such as New Zealand, which has the most working hours at around 1,402 hours, and the Czech Republic and Israel show that a higher volume of working hours is apparently feasible. In his latest government statement, Chancellor Friedrich Merz called for a “tremendous effort” to increase Germany’s competitiveness and implement more efficient working methods.

Shortage of skilled workers and the role of women

The decreasing working hours have already led to a noticeable shortage of skilled workers, warns IW President Michael Hüther. By the end of the decade, around 4.2 billion working hours could be missing in Germany. In this context, Labor Minister Bärbel Bas emphasizes the importance of improving working conditions for women in order to increase their employment. She particularly emphasizes the potential of mothers in the labor market and criticizes the so-called “part-time trap” that prevents many women from achieving their desired number of hours. These problems can be traced back in particular to inadequate childcare and anti-family working models.

The volume of working hours in Germany has increased continuously over the last decade, with the exception of the pandemic years. However, studies show that this development brings challenges for families and employers, especially with regard to the division of paid and care work. A review of blanket solutions reveals that they are often not effective and could hinder social change towards greater gender equality. Political measures should support underemployed groups of people to achieve their desired working hours in order to alleviate the need for skilled workers.

Reforms and challenges

The mini-job reform, which was implemented in October 2022, allows for a gradual increase in employee contributions. This means that exceeding the marginal income limit will no longer necessarily lead to net losses. At the same time, there are plans to reduce the tax burden for second earners, but the impact on the actual job supply is uncertain. The need for improved child care is evident; In 2022, only 36% of those under the age of three attended daycare, while 49% of parents wanted one.

In addition, the unequal distribution of unpaid work in the household remains a problem. Mothers spend significantly more time caring for children than fathers, exacerbating the challenges for working women. In order to promote a more balanced distribution of tasks, politicians could provide incentives, for example through appropriate parental leave regulations. For future development, it is crucial to take further steps towards gender equality in order to exploit women's employment potential and meet the increasing demand for workers.

For more detailed information about working hours in Germany you can ZDF and DIW visit.