Germany’s unemployment rate has surged to its highest level in a decade, reflecting the deepening struggles of Europe’s largest economy. The latest data from the Federal Employment Agency confirms that 2.96 million Germans are now unemployed, marking an increase of 34,000 in May alone. This is not just another slow month for the job market. It is a warning that economic conditions are deteriorating.
The jobless rate remains at 6.3 percent, the highest recorded since 2015, excluding the pandemic. This climb in unemployment is directly linked to weak growth, falling job demand, and widespread uncertainty in key industries. Germany’s reputation as an economic powerhouse is taking a hit, and the numbers prove it.
Job openings have also declined, dropping to 634,000 in May, down 67,000 from the previous year. Major firms, including Bayer and ProSiebenSat1, have announced workforce reductions, contributing to the rise in unemployment. Businesses are feeling the strain, and workers are paying the price.
Despite the grim employment data, the DAX stock index has reached an all-time high. Investors are betting on central bank intervention and corporate resilience, but this optimism appears disconnected from the real economic struggles faced by workers. A soaring stock market does not erase the reality of mass job losses and economic stagnation. Economic analysts warn that without decisive policy action, Germany could face prolonged stagnation.
https://www.morningstar.com/news/dow-jones/202505282209/germanys-jobless-numbers-tick-higher-update
https://en.amwalalghad.com/german-unemployment-climbs-in-may-25/