Grimm warns: increasing unemployment threatens in German business!

Grimm warns: increasing unemployment threatens in German business!

Deutschland - The situation on the German labor market is becoming increasingly alarming. The economy Veronika Grimm predicts a slight increase in unemployment for 2025, especially in the processing of businesses. According to Grimm, established industries in which Germany has so far been leading world are strongly under pressure. "Not everyone will be able to keep their previous job," she warns in an interview with the Bild newspaper. With simultaneous search for specialists, however, it expects only moderate increase in unemployment. However, many workers could not keep their previous wage level when changing jobs, which means: "Many will bring less money home", described the business professor, who has been a member of the Federal Government's expert council since 2020, such as Tageschau.de reported.

In November 2024, 2.774 million people were unemployed in Germany, which corresponds to a decline by 17,000 compared to the previous month. However, the number has increased by 7,000, which underlines the steady problems on the job market. Unemployment has increased by 168,000 compared to the previous year, a worrying trend that is due to the weak economy. In view of the economic challenges, Grimm calls for a comprehensive economic program to promote investments in Germany. "Where, for example, factory closures are planned, politics should help to ensure that companies are resettled," she said. Your measures should also help to support the necessary structural change in the economy in order to be up to the challenges of the future, so FAZ.NET .

Several factors influence the tense situation: company bankruptcies are increasing, the exporting views are cloudy, and high energy prices are an additional burden on Germany as a business location. The federal government expects a slight decrease in gross domestic product in 2024 and minimal growth of 1.1 percent in 2025. Reforms carried out and freed from a close connection between politics and the economy that has led to inertia. This could be crucial for leading the German economy into a more stable future.