Number of unemployed rises to 2.62 million in February

Employment Agency

The number of unemployed rose by 162,000 to a good 2.6 million in January compared to the previous month, as the BA announced on Tuesday in Nuremberg.

(Photo: dpa)

Berlin Without immigrants, employment in Germany would hardly grow any more. More than 95 percent of the gratifying increase in the number of people in work is attributable to migrants, said Andrea Nahles, Chair of the Board of the Federal Employment Agency (BA), on Wednesday at the presentation of the labor market data.

According to the Federal Statistical Office, 45.57 million people were employed in January – 454,000 more than in the same month last year. The number of employees subject to social security contributions was 34.73 million in December, which was 446,000 more than a year ago according to BA projections.

Nationals only contributed 14,000 people to the growth in employment subject to social security contributions. “If we want to motivate domestic potential, then we have to put more effort into it,” said Nahles. Adjusting factors are, for example, the still high part-time rate, especially among women, or the labor force participation of older people.

According to BA, the number of employed foreigners subject to social security contributions has increased by 424,000 or nine percent to 5.13 million. Of the growth in employment among foreigners, 305,000 are in so-called third countries and 120,000 in the European Economic Area, including Switzerland. Among the third countries, most migrant workers come from India, Turkey and Russia.

Large contributions to growth in employment subject to social security contributions come from the countries of the eastward expansion of the EU with 102,000 additional workers, the Eastern European third countries alone with 70,000 Ukrainians who are subject to social security contributions, the most important countries of origin of asylum with 59,000 people and from the Western Balkans with 48,000 people.

More prospects for qualified specialists

“These figures underline that a large proportion of the new positions subject to social security contributions are already being filled by foreign specialists,” said Federal Labor Minister Hubertus Heil (SPD).

people from Ukraine

Without the Ukrainian refugees, unemployment would have increased only slightly year-on-year.

(Photo: IMAGO/ZUMA Wire)

Therefore, with the new Skilled Immigration Act, the federal government will offer even more qualified specialists than before in Germany a perspective. The cabinet is scheduled to vote on the draft immigration reform in March.

However, Nahles dampened expectations that refugee Ukrainians – most of whom are women – could solve Germany’s skilled labor problem. She continues to hope that the refugees will not lose their homeland and will be able to return at some point, said Nahles. The head of the BA emphasized that the refugee movement should not be discussed “only because of Germany’s usefulness”.

Overall, according to the BA, the demand for workers has fallen slightly since early summer last year. Nevertheless, the need for personnel is still at a high level. In February, 778,000 job vacancies were reported to the Federal Agency, 44,000 fewer than a year ago.

>> Read here: Why we need more work instead of more work-life balance – A comment

“Overall, the job market remained stable despite the tense economic situation,” Nahles continued. The number of unemployed rose slightly to 2.62 million in February. The BA said that was 4,000 more than in January and 192,000 more than a year ago. The rate remained stable at 5.7 percent. The current statistics include data up to February 13th.

Supply chain problems lead to short-time work

Without the Ukrainian refugees, unemployment would have increased only slightly year-on-year. The slight increase in underemployment is also mainly due to the fact that Ukrainian refugees who are taking part in integration courses are taken into account here.

Read more about skilled workers and immigration here

In addition to the registered unemployed, the number of underemployed also includes people who are generally available for the labor market but are currently taking part in support measures or are ill.

Short-time work has recently increased again as a result of the economic strain in Germany. The latest data on how many employees claimed short-time work benefits is available up to December 2022: According to extrapolated data from the Federal Agency, 183,000 people received short-time work benefits this month. From February 1st to 23rd, companies announced short-time work for 61,000 employees. Experience has shown that the number of people who actually go on short-time work is lower.

The most important reason for taking advantage of short-time work are supply chain problems, said Nahles. But all in all, no dramatic development can be seen. Most recently, there was criticism of the car manufacturer Mercedes, which, despite a record profit, applied for short-time work for its Bremen plant.

At the end of last year, the Federal Cabinet extended easier access to short-time work benefits by decree until the end of June this year. When asked whether she considered this necessary in view of the economic recovery and the risk of deadweight effects, Nahles said: “This is a political decision that we are implementing.”

More: Studies show how much more salary employees can expect

source site-16