[Economics] Unemployment in Germany - No Shortage of Labor and Silent Reserve

Siehe auch:
[Wirtschaft] Arbeitslosigkeit in Deutschland - Kein Arbeitskräftemangel und stille Reserve

It is often said that there is a massive shortage of labor in Germany. But on closer inspection it can be seen that there is a massive surplus of workers for the existing demand for work. In fact the unemployment rate in Germany has dropped significantly.

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However upon closer inspection it is noticeable that no jobs as such have been created. The number of employed people has increased from around 40 million people (2000) to around 45 million people (2023). The total annual working hours of employed people have remained almost constant over the same period.

This development becomes even clearer when the working hours are divided by the number of employed people. Assuming a 38-hour week and 45 of 52 working weeks per year this results in up to 1,710 hours per employed person. The workforce is therefore far from full employment. The available work has simply been distributed among several people.

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The figures shown above are additionally standardized. Here 1.710h is chosen as the reference. The occupancy rate of the employed has therefore fallen from 85 - 86% in 2000 to only 79% in 2023.

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On the one hand this development corresponds to the development of part-time workers. The proportion of women working part-time has increased in the period under review. And the proportion of men has even doubled.

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A correspondingly poor negotiation position for employees results from the oversupply of employed people. The oversupply of employees press the wage level down. And every call about a shortage of workers is therefore not to find enough workers for the desired wage level.

This silent reserve of the unemployed and part-time employees also brakes the inflation rate. Inflation is slowed down as long as the employees are not fully busy, meaning the labor market is not cleared. Germany thus overfilled the requirements of the EU according to NAIRU or NAWRU.

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Src:
[1] Arbeitslosenquote in Deutschland im Jahresdurchschnitt von 2005 bis 2024
https://de.statista.com/statistik/daten/studie/1224/umfrage/arbeitslosenquote-in-deutschland-seit-1995/
[2] Frohe Kunde aus dem "Jobwunderland" Deutschland. Da lohnt ein genauerer Blick auf die Zahlen und die andere Seite der Medaille 2018-01-03
https://aktuelle-sozialpolitik.blogspot.com/2018/01/frohe-kunde-aus-dem-jobwunderlanderland.html
https://www.sozialpolitik-aktuell.de/files/sozialpolitik-aktuell/_Politikfelder/Arbeitsmarkt/Datensammlung/PDF-Dateien/tabIV46.pdf
[3] Anteil der Teilzeiterwerbstätigen in Deutschland nach Geschlecht von 2011 bis 2023
https://www.sozialpolitik-aktuell.de/files/sozialpolitik-aktuell/_Politikfelder/Arbeitsmarkt/Datensammlung/PDF-Dateien/abbIV8d.pdf
https://de.statista.com/themen/120/armut-in-deutschland/#topicOverview

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