Germany's Federal Employment Agency reports that the economy is on course to create 650,000 new jobs this year, 100,000 of which will be taken up by people who came to the country as refugees. Far from being a drag on the German economy refugees who fled conflict in countries such as Syria, Iraq, and Afghanistan have been a positive force.
Overall, just under 46 million people are expected to be employed in 2018 — a record number for postwar Germany. The number of unemployed people is projected to sink to 2.3 million — the lowest it has been since German reunification in 1990. The jobs Germany is creating are quality ones. Weber said the rise in employment applied only to full work relationships in which employers and employees pay into the social welfare system. By contrast, the numbers of low-paid "mini-jobs" exempt from social welfare is expected to stagnate.
"It will take time to convert the additional potential of refugees into significant actual employment," the authors of the Institute for Employment Research (IAB) report wrote. "But investments in education and language abilities promise major fiscal and macroeconomic advantages in the long term."
"Generally speaking, the high increases in employment we've had in the past few years in Germany would not have been possible without immigration," Enzo Weber, who heads the IAB's macroeconomic research department, said in a statement. "The demographic trend is pointing clearly downward, and it was only possible to compensate for this with immigration and rising employment." The IAB also reports that more migrants could receive jobs if procedures for acknowledging the diplomas and other qualifications they achieved in their home countries are streamlined.
The IAB also rejects the idea that the number of migrants in the labor market will drives wages down.
"Migration shocks to Germany show no significant effects on the unemployment rate, GDP per capita and the wage share," Weber and co-author Sabine Klinger wrote in a separate study. "This implies that immigration increased the volume of the economy according to the average performance of the overall labor force...While it cannot be excluded that the refugee wave since 2015 will have negative wage effects in Germany," Weber and Klinger concluded, "it seems very unlikely that these already appeared over the recent years."
http://www.dw.com/en/job-numbers-benefit-claims-rise-for-migrants-to-germany/a-43124826
Overall, just under 46 million people are expected to be employed in 2018 — a record number for postwar Germany. The number of unemployed people is projected to sink to 2.3 million — the lowest it has been since German reunification in 1990. The jobs Germany is creating are quality ones. Weber said the rise in employment applied only to full work relationships in which employers and employees pay into the social welfare system. By contrast, the numbers of low-paid "mini-jobs" exempt from social welfare is expected to stagnate.
"It will take time to convert the additional potential of refugees into significant actual employment," the authors of the Institute for Employment Research (IAB) report wrote. "But investments in education and language abilities promise major fiscal and macroeconomic advantages in the long term."
"Generally speaking, the high increases in employment we've had in the past few years in Germany would not have been possible without immigration," Enzo Weber, who heads the IAB's macroeconomic research department, said in a statement. "The demographic trend is pointing clearly downward, and it was only possible to compensate for this with immigration and rising employment." The IAB also reports that more migrants could receive jobs if procedures for acknowledging the diplomas and other qualifications they achieved in their home countries are streamlined.
The IAB also rejects the idea that the number of migrants in the labor market will drives wages down.
"Migration shocks to Germany show no significant effects on the unemployment rate, GDP per capita and the wage share," Weber and co-author Sabine Klinger wrote in a separate study. "This implies that immigration increased the volume of the economy according to the average performance of the overall labor force...While it cannot be excluded that the refugee wave since 2015 will have negative wage effects in Germany," Weber and Klinger concluded, "it seems very unlikely that these already appeared over the recent years."
http://www.dw.com/en/job-numbers-benefit-claims-rise-for-migrants-to-germany/a-43124826
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