Job boom in Dresden and Leipzig outshines Saxony's struggling districts
Employment figures in Saxony fluctuated across its regions last year. Significant growth was evident in the urban metropolises of Leipzig and Dresden, while Bautzen, Vogtland, Central Saxony, and Erzgebirge saw a decline in jobs. Differences in employment groups were also observed, reporting a 1.4% decrease in self-employed individuals and assisting family members. Conversely, the number of marginally employed and short-term employees increased by 1.7% across the region.
Statistics revealed an uptick in employment numbers in 2022, edging close to pre-pandemic levels. The state registered a 0.8% rise, amounting to 2.0717 million people in work. This trend hints at continued growth, with employment numbers hitting 2.0842 million people during the third quarter of the same year.
Regional analysis
Dresden and Leipzig
Despite employment declines in several Saxony districts, the Ore Mountains region maintains a relatively stable labor market. Dresden and Leipzig, in particular, have experienced notable job growth, making them attractive employment hubs.
Kamenz
Despite being situated near the Ore Mountains, Kamenz displayed a slight increase in short-term employment last year, according to regional employment statistics.
Bautzen and Other Declining Districts
Bautzen and other districts saw job losses in 2022, but their overall employment landscape remains somewhat stable.
District-wide Employment Trends
In contrast to the rise in marginally employed and short-term employees, self-employment and assisting family members decreased across all districts.
Relative Salaries in Saxony
Compared to other high-income regions, such as Munich and Frankfurt, average salaries in Saxony remain comparatively lower. Employees in the region earn an average of between €36,000 and €37,000 annually.
Economic Contrasts in Saxony
Significant variability exists in Saxony, with regions like Dresden thriving in the tech sector while others may have lower average salaries and distinct economic profiles.
Digital Visa Program Impact
Germany's Digital Visa Program, scheduled to launch in 2025, aims to attract skilled workers to various industries, including technology, healthcare, and manufacturing. This initiative could potentially drive job market shifts in both Dresden and Leipzig, providing opportunities for international talent to fill an estimated 400,000 open positions in Germany.
Dresden's Booming Tech Sector
Dresden has risen as a significant center for the tech industry, fueled by demands for AI, cloud solutions, and open-source software. With the presence of Silicon Saxony and international giants like TSMC, the region is projected to create over 100,000 jobs in microelectronics and software by 2030.
Leipzig's Diverse Economy
Leipzig boasts a broad economic base, focusing on logistics, automotive, and manufacturing. The city also houses a vibrant startup scene and innovative businesses, shaping its diverse job market.
In conclusion, despite challenges in some areas, Saxony's urban hubs, Dresden and Leipzig, continue to lead in job growth, driven by their tech and manufacturing sectors. Kamenz's employment trends demonstrate modest improvements, while varying economic profiles and salaries characterize other districts in the region.
