Employment
The labor market is missing the strong impulses
The situation on the job market is not rosy. At the moment it is obviously not getting worse.
The clouds stay above the German labor market, but are currently not getting darker. The labor market barometer of the Nuremberg Institute for Labor Market and Vocational Research (IAB) rose for the second time in a row in May. With 98.9 points, the barometer is still below the neutral brand of 100 points.
A value of 90 points would predict particularly bad development. A value of 110 points is particularly positive. The statements of all German employment agencies regarding their forecast for the next three months are included in the evaluation. The labor market barometer is therefore an early indicator for the future situation on the labor market. The Federal Employment Agency announces its May statistics this Wednesday.
The component to predict unemployment rose by 0.3 points compared to the previous month. “Unemployment will continue to increase without a turnaround in economic development,” said IAB working market expert Enzo Weber. The employment component rose only minimally by 0.1 points to 100.1 points. It has been slightly above the neutral brand for the first time since the beginning of the year. “The prospects on the job market do not bend further, but there can be no question of a liberation,” said Weber.
The Munich IFO Institute sees the first signs of stabilization. The IFO employment barometer rose to 95.2 points in May, after 94.0 points in April. “Whether it becomes a real trend turns depends largely on the further economic development,” emphasized IFO expert Klaus Wohlrabe.
In industry, the barometer has increased for the fifth time in a row – although many companies continued to break down positions. The service providers, on the other hand, increase their staff slightly – especially in the temporary employment industry, some optimism germs. At least on the construction, job cuts reduce itself.
dpa
Source: Stern
