Jobless rate surges nearly to three million in July
Unemployment Rate in Germany Remains Steady Despite Seasonal Increase
The unemployment rate in Germany stood at 6.3% in July 2025, marking a slight increase compared to June, but a relatively stable labor market overall[1][4]. This rise can primarily be attributed to seasonal factors related to the summer holiday period.
In contrast, the unemployment rate in Bavaria was at a record low of 4.0%, while Baden-Württemberg also reported an all-time low[1]. On the other hand, the unemployment rate in Bremen and Berlin remains significantly higher than in the southern states.
The number of unemployed people in Germany increased by 65,000 compared to the previous month, reaching 2,979,000 in July 2025[4]. However, this increase is less severe than predicted, indicating resilience in the German labor market.
Regarding job vacancies, there are currently 628,000 positions available, a decrease of 75,000 compared to a year ago[1]. The statement by Andrea Nahles, chairperson of the Federal Employment Agency, suggests that companies are still cautious about advertising new positions.
The increase in unemployment is also attributed to the start of the summer break according to Andrea Nahles. Economists anticipate a possible improvement in the unemployment rate after August 2025. The Institute for Employment Research's Labor Market Barometer suggests a potential recovery in the fall of 2025, despite negative economic signals.
On the training market, 414,000 young people have applied for apprenticeships at employment agencies since October 2021, 12,000 more than the previous year. However, 182,000 of these training positions are still unfilled, and 140,000 of these young applicants are still without placements[1].
The statement by Andrea Nahles also indicates that employment subject to social security contributions is barely increasing. As of July 2022, 3.877 million people of working age are eligible for basic security benefits, including those with jobs but insufficient income[1].
In summary, the unemployment rate in Germany remains steady despite a slight increase in July 2025. The trend shows a modest rise compared to previous months, with the labor market holding steady. The regional differences persist, with eastern German states typically having higher unemployment rates, while southern states report lower unemployment rates due to stronger economies and industrial presence.
References
- Federal Employment Agency
- Institute for Employment Research
- Statistical Office of the European Union
- German Federal Statistical Office
Politics and general news report an increase in the unemployment rate in Germany, with the rate standing at 6.3% in July 2025. The increase is attributed to seasonal factors, particularly the summer holiday period (general-news). Meanwhile, Bavaria and Baden-Württemberg reported record-low unemployment rates, while unemployment remains significantly higher in Bremen and Berlin (politics).
