Finance
Number of unemployed in Germany reaches 12-year high
Published by Global Banking and Finance Review
Posted on January 30, 2026
2 min readLast updated: January 30, 2026
Quick Summary
Germany's unemployment rate held steady in January at 6.3%, with no change in jobless figures, despite expectations of a rise.
Germany's Unemployment Rate Hits 12-Year High with 3 Million Jobless
Current State of Unemployment in Germany
By Maria Martinez
BERLIN, Jan 30 (Reuters) - The number of unemployed people in Germany passed the 3 million mark at the start of 2026 and reached a 12-year high, labour office figures showed on Friday, reflecting the lag in the labour market from economic stagnation in previous years.
The threshold was reached in seasonally unadjusted terms, with an increase of 177,000 in the number of people out of work to 3.08 million. The unemployment rate increased by 0.4 percentage points to 6.6% in unadjusted terms.
Seasonal Trends in Joblessness
"There is currently little momentum in the labour market," said labour office director Andrea Nahles. "At the start of the year, unemployment rose markedly for seasonal reasons."
UNCHANGED IN SEASONALLY ADJUSTED TERMS
Government Response to Economic Challenges
However, when accounting for seasonal trends, the labour office said the number of unemployed was unchanged compared with the previous month.
The jobless figure remained the same as in December, at 2.976 million, while analysts and economists in a Reuters poll had predicted an increase by 4,000.
The seasonally adjusted jobless rate was unchanged from 6.3% a month earlier, also in line with the forecast.
Chancellor Friedrich Merz has promised to haul Europe's largest economy out of its downturn with a sharp increase in infrastructure and defence spending. However, those measures are taking longer than expected to translate into better conditions on the ground.
(Writing by Friederike Heine; editing by Miranda Murray and Mark Heinrich)
Key Takeaways
- •German unemployment rate remains unchanged in January.
- •Seasonally adjusted jobless figures stayed at 2.976 million.
- •Analysts had expected a slight increase in unemployment.
- •Chancellor Merz plans increased infrastructure spending.
- •Economic recovery in Germany remains sluggish.
Frequently Asked Questions about Number of unemployed in Germany reaches 12-year high
1What is unemployment?
Unemployment refers to the situation when individuals who are capable of working are unable to find a job. It is often measured as a percentage of the labor force.
2What is the jobless rate?
The jobless rate, or unemployment rate, is the percentage of the total labor force that is unemployed but actively seeking employment and willing to work.
