Germany – Labour market forecasted to improve due to increase in employment

Germany’s labour market is predicted to see an improvement this year along with a rise in employment as well as record labour force numbers, according to the latest forecast from the Institute of Employment Research (IAB).

The IAB stated that this year, the number of people in employment will rise to 44.94 million, which is 650,000 more than last year. Furthermore, on average, 2.33 million people will be unemployed which is 200,000 fewer than last year and the lowest level since 1990.

For 2018, the IAB also expects GDP to grow by 2.1%, 0.1% less than in the previous year.

According to Eurostat, Germany’s unemployment rate stood at 3.6% in January, the third-lowest after the Czech Republic (2.4%) and Malta (3.5%).