Short-Time Work Rises in Germany – by Almost 20 Percent
The number of short-time workers in Germany rose by almost 20 percent in January. According to estimates by the ifo Institute, 2.6 million people were on short-time work, up from 2.2 million in December. The January figure represents 7.8 percent of employees subject to social insurance contributions, up from 6.6 percent in December. Hospitality is the most affected industry.
“Hotels and restaurants, which the lockdown hit particularly hard, are way out in front on short-time work with 55.9 percent of their workforce affected, up from 54.1 percent. That represents 594,000 employees, up from 574,000,” says ifo labor market expert Sebastian Link. In trade, the number of short-time workers more than doubled from 260,000 to 556,000 people, or from 5.7 percent to 12.2 percent of employees. In manufacturing, meanwhile, the number fell slightly from 611,000 to 598,000 people, or from 8.8 percent to 8.6 percent of employees. However, individual manufacturing sectors developed very differently: short-time work decreased among manufacturers of machinery and equipment, of basic metals, and of metal products; among car manufacturers, it increased.
