Germany's Youth Unemployment Surges 15.5% in September 2025
In September 2025, youth unemployment in Germany rose to 4.4 percent, with 30,346 young people under 25 out of work. This marks a 15.5 percent increase from the previous year. Meanwhile, the overall unemployment rate in Baden-Württemberg remained stable at 4.7 percent, with a slight decrease in the total number of unemployed individuals.
The number of vacant positions also decreased slightly, reaching 75,416 in September 2025, a drop of 8,891 compared to the same period last year. Federal Minister for Economic Affairs, Labour, and Tourism Dr. Nicole Hoffmeister-Kraut expressed concern about the government's planned social security reform, which suspends the sustainability factor until 2031. She argued that this would raise social security contributions and burden employers and employees, potentially hindering job creation.
Dr. Hoffmeister-Kraut advocated for reducing labor costs and social security contributions to strengthen Germany's competitiveness and support faster economic growth. She also emphasized the importance of modernizing the social welfare system through targeted reforms to secure employment and reduce costs. Furthermore, she stressed the significance of training as a foundation for a stable and self-determined professional life, urging swift action to open paths to training or qualified employment for young people.
While the overall unemployment rate in Baden-Württemberg remained stable, the increase in youth unemployment is a cause for concern. The government's social security reform plans and the decrease in vacant positions may pose challenges to job creation and economic growth. The Minister's call for labor cost reduction and social welfare system modernization highlights the need for proactive measures to address these issues.
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