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EMPLOYMENT

Number of job openings in Germany reaches historic high

Now is the time to be a jobseeker in Germany. With more than 1.2 million job openings recorded at the end of 2017, Germany is seeing its highest number of job vacancies since 1990.

Number of job openings in Germany reaches historic high
Photo: DPA

The number of job vacancies in Germany has hit a record high, according to a recent report from the Institute for Employment Research (IAB) in Nuremburg. In the last quarter of 2017, there were more than 1.2 million unfilled job openings nationwide, with no expected decrease in sight.

This unprecedented number of job vacancies was shared Tuesday by the IAB as a part of its research on German employment. The current total of job vacancies in Germany is up by more than 128,000 from the end of last year, and is at its highest number that Germany has seen since reunification, says IAB Employment expert Alexander Kubis.

The historically high rate of open jobs in Germany means greater opportunities for jobseekers in the German market. Photo: DPA

In former West Germany, the number of open jobs is recorded at around 918,000 positions, while the vacancy number in east Germany is around 265,000. The strongest growth in open positions has been shown to be in the manufacturing and construction sectors, while the highest number of open jobs is in the so-called “business-related sector”, such as administration, marketing and sales.

SEE ALSO: Germany in top spot for entrepreneurship in 2018 world ranking

With an average of 194 people unemployed for every 100 vacancies in west Germany, and 100 new jobs for every 225 jobless in the eastern states, Germany is currently experiencing the lowest ratio of unemployment to new jobs that it has ever seen, for both eastern and western regions.

This record-setting number of job openings comes from the most-recent IAB Job Vacancy Survey, a representative study of companies across Germany. The IAB examines job offerings in Germany four times a year – including jobs that are not reported to employment agencies. In the fourth quarter of 2017, responses from around 15,000 employers from all economic sectors were evaluated to produce the unprecedented employment findings.

This new report on job growth gives even more evidence to the developing strength of the German economy. The German Federal Labour Agency (BA) found that the unemployment rate remained at 5.4 percent in February 2018, making it the lowest level of unemployment since German reunification in 1990.

This data, coupled with the fact that the German economy grew in 2017 at its fastest rate of expansion since 2011, leads to a bright economic outlook for today's job seekers throughout Germany. 

 
For members

WORKING IN GERMANY

EXPLAINED: The different types of extended leave you can take in Germany

Whether it's parental leave, sick leave, or a sabbatical - there are plenty of situations where you might be off work in Germany for an extended period of time.

EXPLAINED: The different types of extended leave you can take in Germany

The German social insurance and protection system provides well for people for mandatory paid holidays and even several weeks of sick leave if necessary. But what happens if you’re off for a lot longer than that?

That depends a lot on your situation, and the ins and outs of it will depend on whether you’re taking unpaid leave, parental leave – or another type of special leave, which we break down in turn.

Parental leave

This one is fairly straightforward, with plenty of resources to help you navigate it. Although both mothers and fathers are entitled to take parental leave, the entitlements are a bit different.

Germany’s maternity protection act generally covers expectant and new mothers from six weeks prior to their due date to eight weeks after, during which they’re paid their full salary.

Fathers meanwhile, are entitled to take parental leave after the birth of their children, but won’t receive full salary the way mothers do during the period before and after their child is born.

Both mothers and fathers may also receive a reduced amount of Elterngeld – or “parental allowance” – for up to three years in total per child. This parental allowance is typically 65 percent of your salary for up to 12 months – up to €1,800 a month. You do, however, have to submit an application for parental leave, or Elternzeit.

You can take this leave at any time before the child’s eighth birthday. You can even take it more than once, provided the time you take all together doesn’t exceed three years.

During parental leave, you don’t need to pay health insurance contributions unless you work part-time.

READ ALSO: EXPLAINED: Everything you need to know about parental leave in Germany

Unpaid Leave

Depending on your employer, you may be able to take unpaid leave for a variety of reasons.

The reasons allowed are typically very much at your employer’s discretion but can include everything from a long vacation or sabbatical to needing to care for a sick family member.

If you take unpaid leave, you are generally still covered by health insurance. But you will need to advise your health insurer – as there may be implications for what you need to pay – particularly if you’re on public insurance.

If taking a sabbatical – for example – you will be covered and pay contributions like any regular employee for the first month you are off. After that, you will have to be voluntarily insured or insured through a family member – for example, through your spouse. 

Those who have private insurance will typically be able to retain it if they’ve had it for at least five years. If they’ve not, they may need to switch back into public insurance.

Force majeure or bereavement leave

Employees can generally take this leave in the event of unforeseen circumstances, with specific arrangements generally subject to their employment contracts.

Typically, employees can take between three and five days off a year for unforeseen family events or even things like natural disasters. Separate from this, employees are also typically entitled to two days of bereavement leave in the event of the death of a close family member.

Employees in Germany can generally take some leave after a close family member dies. Photo: MIGUEL RIOPA/AFP.

Work-related leave

In most German states, your employer has to give you the equivalent of five days a year for educational improvement – known as Bildungsurlaub.

There’s a fair amount of possibilities here, and you can take a course to better your skills or language knowledge – for example – provided that the course is related to your professional responsibilities. 

If your employer approves and the course is accredited. You can even leave the country for this period.

READ ALSO: Bildungsurlaub: What is Germany’s ‘educational holiday’ and how can I use it?

Long-term sick or disability leave

Generally speaking, you can get up to six weeks of sick leave in Germany at your full salary – provided your doctor signs off.

For periods longer than this though, your employer may stop paying and your health insurer may take over for around 70 percent of your salary – up to a certain amount. This eligibility typically extends for up to 18 months out of every three years.

READ ALSO: EXPLAINED: What happens if you’re off sick for a long time in Germany?

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