Germany's Unemployment Rate Drops to 6.3% Despite Job Increase
The unemployment rate in Germany has shown a slight decrease, falling to 6.3 percent in September 2025. However, the number of unemployed individuals has increased by 14,000 on a seasonally adjusted basis during the same month.
Despite the overall decrease in unemployment rate, the number of people out of work has risen to 2.955 million, a decrease of 70,000 from the previous month. This increase comes amidst a political backdrop where the number of unemployed has risen by 148,000 compared to the same month last year. The underemployment figure has also decreased by 3,000 seasonally adjusted, indicating a slight improvement in job insecurity.
The number of employable citizens entitled to benefits has decreased by 119,000 compared to September 2024, reaching an estimate of 3.854 million. The BA's job index (BA-X) remained unchanged at 98 points in September 2025. However, the number of reported jobs to the Federal Employment Agency has decreased by 66,000 compared to a year ago, reaching 630,000. The number of people receiving unemployment benefits has increased by 117,000 compared to a year ago, reaching 1,006,000.
In September 2025, while the unemployment rate has shown a slight decrease, the number of unemployed individuals has risen. The government, led by Bundeskanzler Merz and Bundesfinanzminister Lars Klingbeil, faces the challenge of addressing this increase amidst a political context that has seen a rise in unemployment compared to the same period last year.
