Particle.news
Download on the App Store

Germany’s Labor Market Weakens at Year End as Unemployment Rises and Vacancies Fall

Regional agencies warn of further strain in 2026.

Overview

  • Germany recorded 2.908 million unemployed in December 2025, up 23,000 from November and 101,000 year over year, putting the national rate at 6.2 percent.
  • In Saxony, unemployment reached 6.9 percent in December with more than 178,400 people in underemployment, and officials report over 15,000 jobless youths as they predict rates could exceed 7 percent this year.
  • Structural pressure is evident in manufacturing, with the Göttingen district reporting about 2,200 factory jobs lost year on year by mid‑2025 and a sharp drop in its vacancy stock.
  • Hesse ended 2025 with about 205,000 unemployed and a 5.8 percent rate as open jobs fell to roughly 42,000, while officials note since 2019 the state has shed 41,000 manufacturing roles but added over 72,000 in health and the public sector.
  • Regional outcomes diverged: Augsburg posted its highest December jobless total since 2006, Kassel saw a 6.6 percent monthly jump in youth unemployment, Oberhausen recorded an unusual December decline yet remained at 11.2 percent, and Bad Tölz‑Wolfratshausen held at 2.2 percent.