Thursday, December 28, 2023
The number of long-term unemployed is increasing - because Ukrainian refugees receive citizen's benefit
Mercury
The number of long-term unemployed is increasing - because Ukrainian refugees receive citizen's benefit
Article by Daniel Geradtz •
4 hours
labour market
Refugees from Ukraine are contributing to the increase in long-term unemployment. The reason is, among other things, the easy access to citizens' money.
Munich – The number of long-term unemployed people in Germany has been declining for several years, as statistics from the Federal Employment Agency show. But then came the corona pandemic, which of course also had an impact on the job market. The number shot up: from almost 730,000 long-term unemployed in 2019 to more than a million in 2021. Recently there has been a decline again.
More long-term unemployed: Ukrainians make up the majority
But the current figures show a trend reversal again. In the monthly report on the labor and training market from November, 928,000 long-term unemployed people were recorded. That's around 51,000 more than twelve months earlier. Long-term unemployed are people who have not been employed for at least twelve months. However, their share of the total number of unemployed fell from 36.0 percent last year to 35.6 percent. This is because the number of unemployed rose by 172,000 to more than 2.6 million.
One reason for the increase is the effects of the war in Ukraine. According to figures from the Federal Employment Agency, 35,000 of the newly recorded long-term unemployed are Ukrainian citizens. However, this does not allow us to conclude that the refugees from Ukraine cannot be integrated into the German labor market. The number of Ukrainian short-term unemployed people fell by 4,000 in November and the number of participants in integration courses increased.
Finding qualified jobs for Ukrainians takes longer
Rather, a strategic mistake by the federal government appears to be the cause of the comparatively high number of Ukrainians who are long-term unemployed. The aim of the Federal Employment Agency is to provide Ukrainian refugees with appropriate job offers. So they shouldn't just do any job, but rather work that matches their qualifications. The placement takes longer and a suitable job must first be available. Federal Labor Minister Hubertus Heil (SPD) therefore announced a rethink in October. A job turbo is intended to help refugees be offered a job more quickly.
According to expert Ulrich Walwei, easy access to social benefits still has an impact on the numbers. The Frankfurter Allgemeine Zeitung reports this online with reference to the deputy director of the Institute for Labor Market and Vocational Research. Refugees can therefore apply for citizenship benefit directly in Germany. As a result, they sometimes receive higher grants than in other countries. A look at the quota of working Ukrainians in neighboring countries underlines this. According to them, almost half of the Ukrainians in the Netherlands are employed. In Denmark it is almost three quarters. According to the report, 18 percent of refugees from Ukraine are employed in Germany.