Short-Time Work Remains at a Low Level in Germany
The number of short-time workers in Germany remained almost unchanged in December. There are currently 186,000 people on short-time work, down slightly from 188,000 (seasonally adjusted) in November, according to estimates by the ifo Institute based on figures from the German Federal Employment Agency. This corresponds to 0.6 percent of the workforce. “The fact that short-time work remains at a low level seems to indicate that the expected winter recession will be very mild,” says ifo researcher Sebastian Link.
At 4.5 percent, or 16,000 people, the share was particularly high in the paper, leather, and textile industries. The automotive sector followed at 4.0 percent, or 38,000 people. In basic metals manufacturing, the figure was 3.2 percent (9,000 employees); in metal products manufacturing, it was 3.0 percent, or 25,000 people. This was followed by chemicals/pharmaceuticals/rubber at 2.6 percent (23,000 people) and printing at 2.5 percent (3,000 people).
“Compared to previous winters during the pandemic, the level of short-time work is very low,” Link says. In December 2021, a total of 770,000 people – 2.3 percent of the workforce – were on short-time work. At the peak in April 2020, the figure was as high as 6 million, or 17.8 percent. Short-time work is a type of part-time unemployment that applies particularly when there is a lack of orders. Employees receive a short-time allowance for the hours lost.
