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Germany's Unemployment Declines Slightly in April but Remains Higher Than Last Year

A weak spring recovery sees unemployment fall by 36,000 to 2.932 million, yet structural challenges persist across regions and sectors.

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Overview

  • Unemployment in Germany decreased by 36,000 in April to 2.932 million, with the national rate at 6.3%, but remains 182,000 higher than April 2024 levels.
  • The spring labour-market upswing was weaker than usual, with Bundesagentur chief Andrea Nahles highlighting subdued seasonal improvements and ongoing economic headwinds.
  • Regional trends showed mixed results: slight declines in Rheinland-Pfalz, Saarland, Bavaria, and Brandenburg, but a rise in Berlin, where unemployment reached 10.3%.
  • Structural issues, including high energy costs, global demand slowdowns, and industrial shifts, continue to strain Germany's export-driven economy and labour market.
  • Short-time work remains prevalent, with 37,000 new short-time work notifications in April, reflecting ongoing challenges for businesses and workers.