Increase in jobless Thuringians recorded in July - Unemployment Rises Among Thuringians in July
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In July 2025, Thuringia, a state in Germany, saw a rise in unemployment, with 72,000 Thuringians out of work, marking a 2,300 increase from June. Despite this increase, the unemployment rate slightly decreased from 6.3% to 6.5%, indicating a complex employment landscape in the region.
Seasonal trends play a role in this unemployment surge, with higher numbers of unemployed individuals typically reported in the summer months. However, this year's increase is more significant than in previous years, and the labor market is less able to absorb the additional jobseekers due to the persistent weak economy.
The number of unemployed in July was around 2,000 higher than in July 2024, pointing to a broader trend of increasing unemployment in the region. Of particular concern is the rise in long-term unemployment, with every third unemployed Thuringian classified as long-term unemployed in July.
Several factors contribute to this trend. The overall economy of Germany has shown signs of stagnation and weakness, with the second quarter of 2025 likely experiencing stagnant output, limiting job creation and increasing unemployment risks. Additionally, the number of job vacancies in Germany has declined significantly, indicating that companies are reluctant to hire, particularly affecting long-term unemployed individuals struggling to reenter the workforce.
Labor market rigidity and structural problems also play a role, with demographic changes such as population decline and fewer young women in prime family-forming age groups exacerbating the mismatch between available jobs and jobseekers' skills or regional labor market conditions. In Thuringia and other eastern states, these factors contribute to the increase in long-term unemployment.
Markus Behrens, the head of the regional office, explained the increase in unemployment in July, stating that it primarily affects young people, particularly those in transition phases. This seasonal trend, combined with the weak economy, has made job reintegration harder for the long-term unemployed population in Thuringia.
As Thuringia continues to grapple with these employment challenges, policymakers and employers will need to address the complex factors contributing to long-term unemployment in the region. By working together to create opportunities for jobseekers, particularly young people, and addressing the structural issues within the labor market, Thuringia can work towards a more robust and inclusive economy.
The Commission has also recognized the need to address the financial challenges faced by businesses in Thuringia, as the prolonged unemployment and weak economy have negatively impacted the region's economic growth and job creation prospects. Therefore, it is essential to allocate appropriate resources to support businesses in finance and create employment opportunities for the long-term unemployed population.
