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More jobless only getting basic support

One in four people in Germany who lose their jobs have paid so little into the generous social security system that they go straight onto the lowest possible level of support.

More jobless only getting basic support
Photo: DPA

A new analysis from the Labour Office (BA) shows that the number of people who go directly onto the most basic level of support – known as Hartz IV – has risen since 2008, the Süddeutsche Zeitung reported on Thursday.

The rules say that a person who pays into the unemployment insurance system for at least one of the two years before they lose their job has a right to unemployment money – on average €812 a month. This is normally paid for a year before being reduced to Hartz IV which is €364 a month.

But the BA analysis showed that increasing numbers of those losing their jobs did not qualify for this as they had either not been working for long enough, or their wages had been too low to trigger the higher levels of unemployment benefits.

The BA said that around 2.8 million people lost their jobs in Germany during the 12 months until the end of November. Of these 737,000 went straight onto Hartz IV – an average of 61,000 a month. Three years ago this monthly figure was 51,000, the study showed.

The risk of becoming dependent on Hartz IV payments is heavily dependent on a person’s qualifications, with half of those with low qualifications going straight onto the basic support, while this is the case with only one in five of those with better qualifications.

Annelie Buntenbach, executive at the German Trades Union (DGB) said the figures showed “how full of holes the unemployment insurance has become and how many people are working in insecure jobs.”

She called for the qualification conditions for the higher level of unemployment support to be relaxed to enable more people to get it.

The Local/hc

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WORKING IN GERMANY

Which Bavaria-based companies regularly hire English speakers?

Bavaria is no doubt a beautiful state with a strong economy, but can be a hard place for non-German speakers to integrate. The Local takes a look at job opportunities in Germany’s southeastern 'Free State.'

Which Bavaria-based companies regularly hire English speakers?

Munich ranks third in German cities with the highest total GDP, behind Berlin and Hamburg, but in terms of GDP per capita, it’s higher than both of them.

It also consistently ranks high, often highest, in terms of average household income.

As of 2023, nine of the 40 companies listed on DAX, Germany’s stock index, were based in Bavaria. Seven of those are based specifically in Munich.

While Frankfurt is commonly known to be Germany’s business capital, Munich can claim the title of Germany’s insurance capital, which is saying something, as Germany is home to some of the largest insurance firms in the world, like Allianz.

Beyond the state’s capital city, a number of international companies are based elsewhere in Bavaria, particularly in the Franken region, near Nuremberg.

Which companies actively hire English speakers?

Bavaria, and Munich in particular, is home to a number of companies at the forefront of international business. But the state is known for its traditional, sometimes conservative, culture, which affects its business culture as well.

Whereas companies embracing English as their primary business language are easy to find in Berlin, the practice is less common in the south. That said, there are some notable exceptions. 

Sportswear giants, Adidas and Puma, both have their headquarters near Nuremberg in Herzogenaurach, and regularly recruit English speaking international talent.

“As an international company, our teams reflect the rich diversity of our consumers and communities,” Jon Greenhalgh, Senior Manager Media Relations for Adidas told The Local. “Fostering a culture of inclusion where we value and leverage differences, ensures that we can authentically engage with our employees and truly connect with our consumers.”

He added that around 40 per cent of Adidas’ Germany-based employees are foreign nationals, from over 100 different countries.

Siemens and BMW rank among Bavaria’s top employers, and are also known to hire their fair share of foreigners.

“In Germany, we recently had around 2,000 open positions,” Konstanze Somborn told The Local on behalf of Siemens AG.

He added that Siemens operates in 190 countries. “That is why we value international teams very much…English as a common language is very usual.”

READ ALSO: ‘Which German companies want to hire foreigners?’

Similarly, BMW hires workers from a variety of backgrounds. 

“Every year, we hire lots of internationals and welcome them to the BMW Group,” Dr. Hans-Peter Ketterl, a press spokesman for BMW Group told The Local. 

But not all of these positions are available to non-German speakers.

Ketterl added that BMW’s working language is German in the country, even though, “English is an indispensable entry requirement as the second corporate language in many areas of the company.”

Check job boards and follow best practices

If it’s your first time applying for jobs in Germany, make sure to change your resume to the German format, even for English positions.

While Germany is home to its own job boards, like Xing, LinkedIn is probably the best place to start. In addition to searching for positions based in your preferred location, you can check relevant groups, like Munich Startups, to broaden your horizons.

The English Jobs in Germany website is also a good resource to start with. 

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