German Economy Faces Rising Unemployment in 2025, Experts Warn

Economist Veronika Grimm predicts job losses in key industries and urges government action to support economic stability and workforce transition.

Economist Veronika Grimm forecasts a slight increase in unemployment in 2025, particularly affecting Germany's manufacturing sector.
Key industries such as automotive and metal production are under pressure, with many companies planning workforce reductions.
A survey by the Institute for Economic Research reveals that 38% of businesses plan to cut jobs in 2025, marking the weakest employment outlook since 2009.
Grimm emphasizes the need for a government-led '100-Day Program' to reduce taxes, cut bureaucracy, and encourage investment to strengthen Germany's economic competitiveness.
She advocates for state-supported workforce reskilling and job creation initiatives to address structural changes and mitigate the impact of job losses.