The labor market in Germany is undergoing a significant transformation, with a large generation of baby boomers reaching retirement age. This has led to a decrease in employment among German citizens, while foreign employment is increasing, especially among Ukrainians and asylum seekers.
In December, Germany had 5.89 million foreign employees, 224,000 more than the previous year. Labor-oriented migration has doubled since 2020, and part-time work is on the rise. Andrea Nahles, head of the Federal Employment Agency, emphasized that the lack of skilled labor will become a major problem for the economy.
Although the number of unemployed has decreased to 3.07 million, the demand for labor remains steady, and the number of vacant jobs has slightly decreased. Unions are urging the government to prioritize combating unemployment, in the context where many young people risk remaining unskilled.
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