WORK ATLAS OF Facts and figures about jobs, employment - and livelihoods - Deutscher Gewerkschaftsbund
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ATLAS OF
WORKFacts and figures
about jobs, employment
and livelihoodsIMPRINT The ATLAS OF WORK is jointly published by Deutscher Gewerkschaftsbund (DGB, German Federation of Trade Unions), Berlin, Germany, and Hans Böckler Foundation (HBS), Düsseldorf, Germany Chief executive editors: Daniel Haufler, Maike Rademaker (DGB), Dorothea Voss (HBS) Managing editor: Dietmar Bartz Art director: Ellen Stockmar English editor: Paul Mundy Proofreader: Maria Lanman Fact checking by Infotext Berlin Contributors: Wilhelm Adamy, Matthias Anbuhl, Gerhard Bäcker, Reinhard Bispinck, Andreas Botsch, Michael Braun, Manuela Conte, Barbara Dribbusch, Béla Galgóczi, Daniel Haufler, Ulrike Herrmann, Frank Hoffer, Markus Hofmann, Johannes Jakob, Annette Jensen, Yvonne Lott, Frank Meissner, Mareike Richter, Ingo Schäfer, Thomas Seifert, Jan Stern, Oliver Suchy, Anja Weusthoff, Edlira Xhafa, Frank Zach Cover design: Ellen Stockmar, cover elements: Ilya Rumyantsev/fotolia.com This Atlas was published in German as ATLAS DER ARBEIT. The views expressed in this publication are those of the authors and do not necessarily reflect the views of the publishing partner organisations. Editorial responsibility (V. i. S. d. P.): Maike Rademaker, Deutscher Gewerkschaftsbund First English edition, May 2018 Produced by Bonifatius GmbH Druck – Buch – Verlag, Paderborn, Germany Climate-neutral printing on 100 percent recycled paper. This material (except the cover picture) is licensed under Creative Commons “Attribution-ShareAlike 4.0 Unported“ (CC BY-SA 4.0). For the licence agreement, see http://creativecommons.org/licenses/by-sa/4.0/legalcode, and a summary (not a substitute) at http://creativecommons.org/licenses/by-sa/4.0/deed.en. Individual graphics from this atlas may be reproduced if the attribution ”Bartz/Stockmar, CC BY 4.0“ is placed next to the graphic (in case of modification: ”Bartz/Stockmar (M), CC BY 4.0“). FOR ORDERS AND DOWNLOADS Deutscher Gewerkschaftsbund, Henriette-Herz-Platz 2, 10178 Berlin www.dgb.de/atlas-of-work and www.dgb.de/atlas-der-arbeit Hans-Böckler-Stiftung, Hans-Böckler-Str. 39, 40476 Düsseldorf www.boeckler.de/atlas-of-work and www.boeckler.de/atlas-der-arbeit
ATLAS OF
WORKFacts and figures
about jobs, employment
and livelihoods
2018TABLE OF CONTENTS
02 IMPRINT 20 NON-STANDARD JOBS
OUT OF THE ORDINARY
06 INTRODUCTION Deregulation of the labour market, intended
to cure the scourge of unemployment, has led to
08 16 SHORT LESSONS the rise of part-time, insecure, low-paying jobs.
ABOUT THE WORLD OF WORK
22 DEMOGRAPHICS
10 HISTORY A TALLER, THINNER PYRAMID
OF HARDSHIP AND TOIL In the long term, demographic changes
In most parts of the world, pay slips have can be unpredictable. But medium term
long replaced whips and shackles as a trends are nevertheless clear: Germany will
way to motivate workers. The nature of work, have more elderly people and fewer people
and how it is viewed by society, has of working age to support them.
transformed markedly over the centuries.
24 WORKING HOURS
12 LABOUR MARKET OVERTIME, NOT FREE TIME
WELCOME TO THE WORLD OF WORK We all put in an extra hour or two every
Machinery, automation and digitalization now and then. But for all too many
are rapidly changing the nature of employees,the extra hour at work –
work. The job market demands an ever often unpaid – has become an unavoidable,
more highly skilled workforce. and unacceptable, way of life.
14 INCOME 26 YOUTH
WORKING MORE, EARNING LESS LEARNING TO WORK
Income and wealth inequality has been on Much admired and copied, Germany’s
the rise for decades in Germany, heralding dual education system is being challenged
economic, social and political problems. by rapid changes in the labour market.
The gap between rich and poor is moving
to centre stage in the national debate. 28 PENSIONS
IN SICKNESS AND OLD AGE
16 UNIONS “Die Rente ist sicher” – “Pensions are secure!”
BANDING TOGETHER But in fact, pensions are declining relative
Unions have been at the forefront of the fight to income, and many workers face an uncertain
for workers’ rights, decent wages and working future when they retire or if they are disabled.
conditions since the mid-19th century. Although
they still perform that role, they have been weak- 30 WOMEN
ened by structural changes in the labour market. HALF THE SKY, BUT FOR LESS PAY
Our society prides itself on offering
18 UNEMPLOYMENT opportunities for all. But half the population
OUT OF WORK, OUT OF SIGHT faces inherent disadvantages: compared
Germany is currently enjoying an economic boom, to men, women end up working fewer hours,
with low unemployment and a large proportion for lower pay, in dead-end jobs. Structural
of people in work. But the scenario could changes are needed to ensure they can play
change – if the economy falters, joblessness rises. an equal role in the labour market.
4 ATLAS OF WORK32 FINANCIAL CRISIS 46 FRANCE
BOOM AND BUST MODE D‘EMPLOI
Capitalism has brought huge benefits for society, German workers look enviously across the Rhine
but it also brings with it inequality, and it is at the Gallic lifestyle. The French gaze back
subject to periodic turmoil. Looking back at past at Germany and see a more successful economy
crises can reveal warning signs for the future. with lower unemployment.
34 DIGITALIZATION 48 EMERGING ASIA
THE FOURTH WAVE BEYOND THE PEAK OF INDUSTRIALIZATION
We are currently experiencing a fourth Emerging economies like China and India
industrial transformation. The emergence of gradually move on to more sophisticated products
smart, networked technologies is expected to and processes requiring more skilled and
have a massive effect on all aspects of our lives. better-paid jobs. But the window of opportunity
may be closing as the economic landscape shifts.
36 GLOBAL EMPLOYMENT
WORKLESS IN WUPPERTAL, 50 STRIKES
DESPERATE IN DHAKA DOWNING TOOLS
Unemployment figures around the world Strikes are one of the few weapons that workers
are a paradox: more people are officially have to press for their rights. But the right to
classified as unemployed in rich countries strike is threatened in more and more countries.
than in poor ones. This reflects the lack of
social protection in developing nations, and 52 SLAVERY
how the statistics are compiled. ANYTHING BUT ABOLISHED
Ancient Greece and Rome relied on slavery,
38 EU MIGRATION as did the colonial empires in the New World.
UPPING STICKS But while whips and shackles have disappeared,
Millions of EU citizens have taken the other features of slavery have not.
advantage of the free movement of people
to work and live in another member country. 54 CARE
But the results have not all been positive, WHAT USED TO BE FREE
especially in the workers’ home countries. Some types of work – especially the care
of the young and old – cannot easily be
40 EU RIGHTS delegated to a machine.
IN A CRISIS, THE WORKERS LOSE
The European Union prides itself on being 56 BASIC INCOME
able to balance economic needs with MONEY FOR NOTHING
workers’ rights. But in a crisis, undertakings Modern production techniques now make it
are forgotten and agreements are set aside. possible for the first time in history to
seriously consider giving everyone a basic
42 EU YOUTH income, regardless of whether they work or not.
JOSTLING FOR NON-EXISTENT JOBS
For many young people in Europe, hopes have 58 CLOCKING OFF
faded. Massive youth unemployment and a JUST RELAX
sclerotic job market leave them with a three-way The “idle rich” have been subject to the scorn of
choice: enforced idleness, emigration, or protest. the toiling classes since time immemorial: mocked
for their unwillingness to raise a sweat or get their
44 TEXTILES hands dirty. But the disdain is mixed with envy:if
SEW WHAT the gentry can live a life of leisure,why can’t I too?
Making clothes is highly labour-intensive, and
it still relies on low-paid workers. That pushes 60 AUTHORS AND SOURCES
it to countries where labour is abundant. FOR DATA AND GRAPHICS
ATLAS OF WORK 5INTRODUCTION
F
or most of us, work is more than The organization of working conditions
merely a means to earn our daily ceased to be a purely national matter
bread. Work usually defines our years ago. It has become an issue
social status, not only through our of international policies. Competition
incomes but also through our professions. in tax regimes and capital markets have
Being able to work means we can long steered investments and trade,
participate in society and are integrated thereby influencing national policies. It
in our community. Throughout the is the workers who are hardest hit when
world, people are debating the meaning multinationals engage in systematic tax
of work and the values that are tied to it. evasion and avoidance (shifting offices
and factories to low-tax jurisdictions), and
Labour is not a commodity where when capital markets fluctuate wildly or
prices and conditions can be set at will crash. Politicy makers still lack adequate
or left to the market to determine. responses, whether at the national,
Working conditions and wages are European or international levels.
always the result of political decisions,
N
and often of tough conflict and hostile ew challenges are arising in the
political systems. This Atlas of Work world of work while longstanding
aims to present the range of labour abuses have not been resolved.
relationships, without any claim to be We have not even succeeded in
exhaustive. It compares the systems eliminating the worst form of labour
in various countries and describes how exploitation, slavery. Even in traditional
working conditions can be shaped. industries and services, workers are
It illustrates that we are still very far still missing basic rights and needs.
from assuring good working conditions Digitalization is fundamentally changing
and equal rights at work for all almost all types of work. Rules and legal
workers, and it reveals where and how regulations are inadequate to fit the
political action is needed. new situation. The vanishing boundaries
6 ATLAS OF WORKbetween work and leisure time, They drive political demands such
crowdworking (digital platforms that as national minimum wages and
recruit freelancers), Big Data high occupational safety standards.
(crunching massive datasets to reveal Their international organisations
insights), international service support trade unionists around the
platforms, the emergence of new globe. But in some countries unions
professions and the disappearance of are weak, and suppressed or even
old ones, privacy issues, the banned.
concentration of power in corporations,
T
rising inequality – the transformation his Atlas of Work explains
of the current employment landscape many aspects of how our
into a new world of work presents working world is structured
a major challenge for policy makers, today, how it is in constant motion,
and especially for trade unions. and what opportunities we, especially
policy makers, unions and civil
T
rade unions play an important society, have to change it. The Atlas
role worldwide in shaping offers a solid basis for discussions on
the working conditions of the work in the future.
present and the future. Employees are
significantly better-off in countries
where unions are strong and wherever We hope you enjoy reading it.
there is worker’s representation and
participation in a company. Through
collective bargaining, unions achieve
not only pay increases; they also
make forward-looking proposals on Reiner Hoffmann Michael Guggemos
President, German Spokesman,
working time arrangements, further Confederation of Hans Böckler
training and pension schemes. Trade Unions (DGB) Foundation (HBS)
ATLAS OF WORK 716 SHORT LESSONS
ABOUT THE WORLD OF WORK
1 Workers have BETTER PAY AND CONDITIONS if unions
represent their interests and negotiate COLLECTIVE
BARGAINING AGREEMENTS on their behalf.
2 Incomes in Germany are moving apart.
INCOME FROM LABOUR is rising slowly, if at all;
income FROM CAPITAL is growing much faster.
3 WOMEN still earn less than men and
have worse career prospects.
They also receive LOWER PENSIONS.
4 Jobs are not going to run out, although
AUTOMATION and DIGITALIZATION are
making workers ever more productive.
5 DEREGULATION of the employment market means
that millions of people now have only a minijob,
part-time or contract work, or a TEMPORARY JOB.
6 The LOW-WAGE SECTOR in Germany
has grown rapidly since the 1990s and
is now one of the largest in Europe.
7 DIGITALIZATION is changing work
patterns and requires workers to be more
flexible. The boundaries between
WORK AND LEISURE TIME are blurring.
8 ATLAS OF WORK8 Although more people are at work in Germany than ever
before, the numbers of LONG-TERM UNEMPLOYED have
barely fallen. The government has not done much for them.
9 The RIGHT TO STRIKE is both a fundamental right and a
human right – but one that is threatened in many countries.
10 Around the world, 40 million people are victims
of MODERN SLAVERY. Most of them are women.
11 More than two-thirds of jobs in INDIA are threatened by automation;
in CHINA the numbers are even higher. Future HIGH-TECH PRODUCTS
will be produced in Europe and the United States.
12 Work that USED TO BE UNPAID, such as childcare,
care of the elderly and housework, is increasingly
being outsourced to private service providers.
13 Germany’s DUAL TRAINING SYSTEM in vocational
schools and companies garantees a high level of
qualification for apprentices. But the system is not
sufficiently prepared for digitalization.
14 In Germany, Scandinavia and the Netherlands, YOUNG PEOPLE have
good job prospects. Their counterparts in southern Europe see
themselves confronted with either unemployment or precarious jobs.
15 More and more people work OUTSIDE
THEIR HOME COUNTRIES. This trend
will increase markedly in the future.
16 CAPITALISM is NOT A PERMANENT CLASS
STRUGGLE, but functions best when workers also benefit.
ATLAS OF WORK 9HISTORY
OF HARDSHIP AND TOIL
In most parts of the world, pay slips have “The busier we are, the more acutely we feel that we live,
long replaced whips and shackles as the more conscious we are of life.”
a way to motivate workers. The nature of That may have been true for parts of the bourgeoisie.
work, and how it is viewed by society, For the majority, however, work still meant the hardship
and toil needed to make a living – though they were start-
has transformed markedly over the
ing to realize the true value of their sweat, as the growing
centuries. It continues to change in often
labour movement showed. In the late 18th century, the
unpredictable ways. rise of capitalism and industrialization introduced the
concept of wage labour and the “work society”, in which
H
e who does not work, neither shall he eat.” This people were defined according to the type of work they
quotation from the Apostle Paul is cited by Chris- did. It was followed in the late 19th and the 20th centuries
tians and atheists alike. It even made it into the by the industrial society, in which most working people
1936 Constitution of the Soviet Union: Article 12 makes worked in industry, and in the 1970s in the West by the
this principle a duty and a matter of honour for all service society. The last two decades have seen the emer-
able-bodied Soviet citizens to work. But that misinter- gence of post-industrial societies where digitalization has
prets the scripture. It actually refers to life after expulsion begun to revolutionize the world of work.
from paradise. Work is hardship and toil, a punishment Despite these changes, one thing has stayed con-
from God. It is nothing desirable. stant: capitalism continues to dominate the economy,
It is not just the Bible that sees work in a negative and within it, employment and particularly dependent
light. The ancient Greeks regarded work and civil rights as wage labour. Wage labour has existed since the earli-
opposites. Physical labour was performed by slaves. The est times, but it is now a mass phenomenon, an object
debates held by citizens in the meeting-place were seen of market transactions: a commodity. Friedrich Engels
as an intellectual activity, not work. Similar attitudes also viewed labour as “a commodity, like any other, and
pervaded Christendom for more than 1,000 years. its price is therefore determined by exactly the same
The Middle Ages and early modern era saw a shift in laws that apply to other commodities.” In Das Kapital,
views. Luther’s stress on ora et labora (prayer and work), Karl Marx in 1867 developed the theory of surplus val-
Enlightenment thinkers, and Max Weber’s Protestant ue, which defined the exchange value of a good as the
ethic all reflect a growing appreciation of work, which amount of work it represents. Given that a human could
came to be seen as the source of property, prosperity and work for longer than required for the goods he or she
self-realization. Adam Smith believed that work offers the needs to survive, the surplus value could be skimmed off
opportunity to change the internal and external nature of by capitalists. But Marx was refuted empirically during
humans. According to the philosopher Immanuel Kant, his lifetime, as workers joined forces in powerful unions
that achieved wage rises and thus gained their share of
the surplus value.
Since then, the concept of work has continued to
SENSE OF PURPOSE OR ROOT OF ALIENATION
Opinion survey about perceptions of respondents’ own
change. At some point, the idea of a “normal employment
work, 2016, percent relationship” in which a man can earn enough to support
his family, took root. But in reality, for most people out-
Do you make side the nobility and bourgeoisie, a single income was
an important 9 never enough. Before the industrial era, it was even rarer
contribution 21
to society with for a single wage earner to be able to support a family.
your work? Women have always worked, and in recent times more
26 than ever. This is not just because of the emancipation of
women, but also a result of economic necessity. The social
historian Jürgen Kocka thinks that the “normal employ-
not at all
ATLAS OF WORK / DGB
moderate contribution 44
large contribution
Work does not just benefit individuals:
very large contribution
it also is also a basis for society.
Many realize that they play a part in this
10 ATLAS OF WORKA CONTINENT OF HARDSHIP
Selected “work words” and their relatives in Europe
fjord “bay“ fora “way“
värk “pain“
ferry jobb “job“
porter port arbete ”work“
laboratory verk “factory“ trud ”work, effort“
labour arm “poor“ rabota ”work“
job labile
fare “travel“
wright organ arbeijde ”work“
orphan orphan energy virke „work“
robot Russian
voer “transport“
travail arbeid ”work, arm “poor”
Church Slavonich
travel fare pero ”feather“
misery“job wirken “operate” trud ”efford“
Welsh
Werk “factory”
llafur ”work“ werken Arbeit “work” praca ”work“
Job “short employment” pierzchnąc ”fly“
verdrießen “annoy”
Erbe “inheritance” robota ”work“
travail ”work“ Handwerk “craft” práce ”work“
labil “wavering” prchnouti „flee“ robota ”work“
travailler ”exert, Labor “workroom”
move, travel“ Fuhre “load práca ”work“
fahren “drive”
pierre ”stone“ führen “lead” labor ”laboratory“
port ”harbour“
gober “devour“
Serbia, Croatian, Bosnian laboare
prhati ”fly up“ ”work“
job “job“ -
trabalho trud ”work“
”work“
labor ”work“ travaglio ”work“ trud ”work“
lavor Church Slavonic
trabajo ”work“ latin
lavoro ”work“ rabotati ”serve“
”work“ orbus “orphaned” trud
piedra “stone“ rabu ”servant, slave“
pedra tripalium ”three stakes“ pietra „stone“ ndrydh ”work“
“stone“ labor ”effort, work“ -urgia, -ergia ”sprain“
labare ”waver“ ”art“, ”craftmanship“
trudere ”push away“ poreúō ”move, go“
portare ”carry“ orphanos ”Waise“
ergon ”deed“
energeia ”energy, actiivity“
Roots (* reconstructed forms)
*orbho- “poor, orphan, slave, must work” (Indo-European)
*uerg- “bring about, do” (Indo-European)
*trewd- “press” (Indo-European)
ATLAS OF WORK / ARCHIV
*per- “carry” (Indo-European), *portiti “send” (Old Slavonic)
*leb- “depend, be weak” (Indo-European), labor “Sway under a load” (Latin)
tripalium “three stakes, a torture instrument” (Latin)
*gob “mouth” (Gallo-Roman), job “piece, lump” (Middle English)
In many European languages,
ment relationship” only existed between 1950 and 1975 words for “work” have negative roots
– during the heyday of the welfare state. Apart from that that we do not realize today
time, it was “rather a norm than normality”.
The pendulum continues to swing. Industrialization
and urbanization shifted work from the house to the mine, Meanwhile, the concept of work is expanding from
factory and office. The spheres of work and non-work paid employment to include hitherto unpaid activities,
(which came to be known as “leisure”) were separated – such as volunteering and care work. New, unexplored
though non-work also included unpaid housework and possibilities are opening up. They may lead to people in
care activities. Today that distinction is being disrupted the future to think differently from Werner von Siemens,
by digitalization. That affords more flexibility for workers, who summed up his life in 1892 in the words of the Psalm
but more pressure to perform – they are always at work. 90:10, “The days of our years are three-score years and
Today the boundaries of work and non-work are blurred ten; and if by reason of strength they be four-score years,
in terms of time and space. yet is their strength labour and sorrow.”
ATLAS OF WORK 11LABOUR MARKET
WELCOME TO THE
WORLD OF WORK
Machinery, automation and digitalization are times higher than in the economy as a whole. Fewer work-
rapidly changing the nature of work. The ers are laid off in manufacturing, even though it employs
job market demands an ever more highly ten times as many people as contract work. This indus-
skilled workforce – but at the same time, trial and craftbased sector employs around 29 percent of
German workers and makes a disproportionately large
an increasing number of workers are saying
contribution to the national economy of Germany.
goodbye to the typical 9-to-5, five-day
However, services are the runaway winner in the most
workweek, lifelong employment relationship. recent structural changes in the employment landscape.
Since 2015, they have employed some 70 percent of all
W
ork looms large in our society. In Germany, 75 workers. Employment in services has risen by more than
percent of the working-age population aged 15 5 million since 1999, especially in the health, care and
to 65 years are employed, and the proportion is childcare sectors.
growing. In 2017, more than 44 million individuals con- The East-West divide in Germany is still plain to see.
tributed to Germany’s economic performance, and 32 The population of the East is shrinking and greying. Com-
million paid income tax and social security contributions. pared to their Western colleagues, workers there are more
These figures have risen by 20 percent since the middle likely to be employed in small enterprises, the construc-
of the last century. One-eighth of the employed popula- tion industry and public administration. Sectors with an
tion has a “minijob” (part-time work not subject to social emphasis on research and development that focus on
security contributions) or a “one-euro” job (workfare ar- bringing new products to market are underrepresented.
rangements for people on social security). Another tenth The number of “atypical” employment relationships
are self-employed or work for family members. has more than doubled since the early 1990s. These in-
Beneath the surface of these figures, the job market is clude minijobs, fixed-term employment, temping, and
in constant flux. Every year, up to 10 million employment own-account work. These employment relationships pay
relationships begin or end. Young people leave school, ap- less and are less stable than regular employment; they of-
prenticeship or university to join the labour market; other fer inadequate social security in case of unemployment
workers move workplaces, switch jobs with the same em- and after retirement. People with limited or no qualifica-
ployer, take parental leave, or return to employment. tions often end up in such jobs.
The unemployed are involved in approximately a third Fixed-term employment is used in public administra-
to a quarter of these changes. Even in boom years, around
2.5 million people become unemployed, and around the
same number find a new job. Turnover is especially high Employment statistics use their own jargon.
in contract work. Many such job relationships are short- Mapping these terms reveals
term, and the risk of unemployment in this sector is five the structure of the employment market
COMING TO TERMS
Official labour market terminology
employed unemployed
labour force hidden unemployed*
employees
self-employed, registered in labour- in
assisting family as market narrow
subject to social- low-wage civil servants,
ATLAS OF WORK / BA
members unemployed measures sense*
security contributions earners judges, soldiers
* The hidden unemployed include individuals in labour-market measures (such as training) and in a narrow sense,
jobseekers who are not registered as unemployed and persons who may return to the labour market
12 ATLAS OF WORKSTRUCTURAL SURVEY 0,7 0,7 0,6
Basic numbers for the German labour market, 2007–2017, million people
10.1 10.4 10.7
Gainfully employed farming, forestry,
self-employed fisheries 2007 2012 2017
employed industry, crafts, 29.5 31.0 33.0
construction
4.3 services
4.6
4.5
employees subject to social security contributions
low-income earners in labour-market measures
registered as unemployed registered job vacancies
2007 27.1 5.0 3.8 1.6 0.4
37.5 40.0
35.8
ATLAS OF WORK / DESTATIS, BA
2012 29.3 5.0 2.9 1.0 0.5
2017 32.2 4.8 2.5 0.9 0.7
2007 2012 2017
Employment is rising, but
tion as well as in the private sector. Minijobs are found millions still earn low wages
mainly in the private service sector. Income from these or are looking for work
jobs is exempt from tax and social security contributions.
Three million people currently have a minijob in addition
to their main source of income. career opportunities for qualified workers, while low-
The number of part-time jobs that are subject to tax skilled occupations are dwindling. Business processes
and social security contributions has doubled in the last are faster and more flexible; the demands for networked
20 years: as with minijobs, they mostly concern women. activity are growing, as are the social and psychological
The rise in female employment is wholly due to swell- burdens on workers. The digital transformation is giving
ing part-time employment. When women start families, rise to new production and logistics chains, such as on-
they often reduce their working hours or interrupt their line commerce. As the world of work diversifies, it is also
employment, while the proportion of men in full-time becoming more precarious: these trends are reinforced
employment stays relatively constant. Men tend to work by the social significance we put on employment and our
parttime only at the beginning and end of their careers. identification with what we do for a living.
The boundaries between work and leisure have
blurred. Work outside normal working hours is becoming
more common. The number of working hours in Germa-
UNEQUAL, WITH KIDS
ny is below the EU average, but even so, one-ninth of all Employment rates of childless adults and parents,
full-time workers put in more than 48 hours a week. Less 2015/16, percent
than half of all overtime hours are paid. One-quarter of
jobholders work on Saturdays, and 14 percent now work
on Sundays. Employees who are on call or who do night or 71 66 60
83
shiftwork are expected to be especially flexible.
men women men women
Pure manufacturing and physical labour are losing
importance and are being replaced by labour-saving de- no children with children
of any age
vices. But while the intensity of work is rising, the work-
ers’ scope to determine how they do is declining. Indus-
trial production is highly automated and traditional office 37
45
work is being replaced by digital workflows. This opens 82 84
ATLAS OF WORK / BA, WSI
men women men women
The biggest differences in the labour one child two children,
under 6 years youngest under 6
market are between men
and women with small children
ATLAS OF WORK 13INCOME
WORKING MORE, EARNING LESS
Income and wealth inequality has been on whole industry sector are a key feature of the bargaining
the rise for decades in Germany, heralding landscape. In 2014, workers covered by collective agree-
economic, social and political problems. ment earned an average of 20.74 euros an hour, around
The gap between rich and poor is moving to 18 percent more than their equivalents in firms not bound
by an agreement (17.52 euros). But many firms are aban-
centre stage in the national debate.
doning such collective arrangements in order to cut costs.
Today, only every other employee works in a firm that is
R
ising inequality is evident in the wage share – the party to such arrangements.
proportion of national income that goes to wages Earnings vary widely, depending on the sector and the
and salaries. This figure has declined in recent size of the firm. At the bottom end, someone in the hotel
years, while the share that goes to capital and profit has and tourism industry earns an average gross income of
grown. At the turn of the millennium, the wage share was 9.63 euros an hour. Workers in the retail sector earn 14.95
around 72 percent; it has now fallen to about 68 percent. euros, those in manufacturing earn 21.05 euros, while at
The number of people with low incomes has increased; the top end, energy-sector workers take home 27.80 euros
the middle-income ranks are thinning out, and the high- before tax. Part-time workers receive on average over 3 eu-
income group is growing. This split is made more acute ros less per hour than full-time employees. Big firms with
because the wages of the bottom 40 percent of earners are more than 1,000 employees pay an average of 21.99 euros
not growing fast enough to make up for increasing prices – much more than the 12.39 euros paid by small firms with
– especially as housing rents soar. less than nine workers. In general, women earn less than
One reason for this fissure in earnings is the decrease men; for years, the gender wage gap has remained around
in the number of firms that apply collective bargaining 22 percent.
agreements. Wages and salaries in Germany are largely A major cause of the polarized income structure in
determined by collective agreements that are negotiated Germany is the growth of the low-wage sector that began
by individual employers, or employers’ associations, with in the 1990s. This sector is now one of the biggest in Eu-
trade unions. These agreements then generally apply for rope. In 2015, almost one in four workers earned less than
all workers (not just union members) in firms that are par- the low-pay threshold of 10.22 euros an hour. Minijobbers,
ty to the agreement. Collective agreements that cover a people with low qualifications, young people and foreign-
While higher income
FOR BETTER OR WORSE
Hourly wages by income group (in deciles), average change 1995–2015,
earners have seen
corrected for inflation, percent their salaries rise, the
bottom 40 percent
Top 10 percent
10th decile +8 now earn a lot less
of earners
9th decile +10
8th decile +10
7th decile +8
6th decile +4
5th decile +1
-4 3rd decile
-6 3th decile
-7
ATLAS OF WORK / BMAS
2nd decile
Bottom 10 percent
-7 1st decile
of earners
-10 -5 0 5 10
14 ATLAS OF WORKNO PROGRESS: THE LOW-WAGE SECTOR
Hourly wages below two-thirds of the median income in East, West and all of Germany, 1995–2015,
percent of employees
50
45 eastern Germany
40.6
38.7
40 36.3
35
30
35.3
24.2
25 all Germany 22.6
20 16.2
21.2 19.7
15
10 western Germany
11.7
5
ATLAS OF WORK / IAQ
0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
In 2015, low wages were defined as those below 10.22 euros an hour.
Low wages have become a fixed part of the
ers – all these tend to work for low pay. The growth of this landscape. But the minimum wage has shown
sector has its roots in policies: the Hartz labour market that the economy can cope with pay rises
reforms that deregulated the labour market in the early
2000s and put enormous economic pressure on the unem-
ployed. It allowed contract employment to boom. Reasonable earnings above the minimum wage can be
Another factor has been shifts in the structure of the achieved only by strengthening the collective bargaining
economy. Germany’s industrial sector contributes a rel- system. Since 2015, it has become easier to extend a col-
atively high 23 percent of value added, but the share of lective agreement and make them legally binding for all
services is growing, and with it the number of unskilled, companies in a particular sector – including those that
low-paying jobs. The outsourcing of services such as ca- are not party to the bargaining process. The working con-
tering, cleaning and maintenance by industrial firms re- ditions and wages of such an extended agreement apply
inforces this trend. to all employees in a particular sector. Around 440 agree-
In 2015, after a long struggle, a minimum wage of 8.50 ments, or just 1.5 percent of all collective agreements, are
euros an hour was introduced to stem the rise of poorly extended and thus generally binding. That leaves a lot of
paid jobs. This was a first for Germany. In 2017, it was room for improvement.
raised to 8.84 euros on the basis of the previous round
of collective wage agreements. The forecasts of many
economists that setting a minimum wage would push
TO HIM SHALL BE GIVEN
up unemployment has not materialized. On the contrary, Changes in income distribution in Germany, 2000–2017,
the employment picture has continued to improve. The 2000 = 100
number of minijobs has declined as some have been con-
verted into jobs subject to income tax and social security 180
175.2
contributions. Overall, the minimum wage has stabilized 170 income of firms and capital
incomes at the bottom of the pyramid.
160
But many employers illegally circumvent the mini- 149.3
150
mum-wage requirement because controls are inadequate.
140
The minimum wage is currently set at around half the me-
130
dian hourly wage. To reach the level of an adequate living
wage it would have to rise more quickly than the rates set 120
in future collective bargaining agreements. 110
ATLAS OF WORK / DESTATIS
100 employee compensation
0
Since 2000, companies’ income has grown 2000 2002 2004 2006 2008 2010 2012 2014 2016
faster than wages and salaries –
despite the financial crisis of 2008–9
ATLAS OF WORK 15UNIONS
BANDING TOGETHER
Unions have been at the forefront of the selves as they do in industrial sectors. Despite this, the
fight for workers’ rights, decent wages and decline in membership has slowed considerably. Some
working conditions since the mid-19th unions have even been able to boost their rolls through
century. Although they still perform that new recruitment approaches.
The most important task for unions are collective bar-
role, they have been weakened by structural
gaining activities, i.e., regular negotiations with employ-
changes in the labour market and now face
ers. This involves both quantitative goals for wages and
new challenges. salaries, as well as qualitative aspects such as working
hours, holidays, job security and staffing levels. In 2018
W
orkers in Germany have benefited from the alone, collective agreements will be negotiated for nearly
unions: they no longer have to put in 16 hours 10 million workers. And since the agreements apply to all
a day, they are entitled to receive their wages workers in companies that are party to them, it is not just
when they fall ill, and they get regular pay raises. And union members who benefit. In Germany, there are cur-
all around the world, where unions are strong, workers rently more than 70,000 collective agreements. Each year,
do better. Taken together, the eight unions gathered un- between 5,000 and 6,000 of them are renegotiated.
der the umbrella of the German Trade Union Federation Most negotiations are concluded without recourse
(Deutscher Gewerkschaftsbund, DGB) are the country’s to strike action. But as a last resort, unions may decide
biggest civil society organization. to use this tactic. International comparisons show that
But the number of union members is sinking, and with Germany has relatively few strikes, also because political
it their influence over working conditions and wages. At strikes, for example to pressure the government, are out-
the end of 2017, the DGB had just over 6 million members, lawed – unlike in some other European countries.
out of a total of around 40 million employees nationwide. The incidence of strikes fluctuates from one year to
At the turn of the millennium, membership stood at 7.8 the next. When IG Metall, a German industrial union that
million. This downward movement has many causes. is well organized in firms that produce for export, holds
Companies, especially in unionized industries, are re- a round of negotiations, the number of strikes goes up,
structuring jobs, replacing humans with machinery, or and several hundred thousand workers may down tools.
outsourcing work. Privatization of the rail and postal ser- And the DGB is not alone: professional associations such
vices has taken its toll, as has the growing service sector as Cockpit (pilots), GDL (train drivers) and the Marburg-
with its relatively small enterprises. These jobs are often er Bund (doctors) have not been afraid to flex their strike
precarious and workers are less likely to organize them- muscles.
The collective-bargaining landscape is changing as
an increasing number of employers opt out of their in-
dustry’s sectoral wage agreements in order to cut costs.
GOING IT ALONE
Employees in collective bargaining agreements 1998–2016,
Struggles over company-level agreements are growing in
percent importance. Digitalization poses fresh problems for un-
ions: platforms such as Deliveroo (food delivery), Uber (ri-
80 76 dehailing) and Helpling (home cleaning) provide employ-
70
63 ment for people who are formally self-employed and, as
59
60 a result, are not subject to a collective bargaining agree-
50
ment. The poor working conditions in such enterprises
are increasingly leading to protests. In January 2018, bicy-
40 47
cle couriers with Deliveroo formed a works council.
industry- and company-wide
30
agreements, West Germany The second pillar of German industrial relations is
20 worker’s participation. In firms with at least five employ-
industry- and company-wide
10 agreements, East Germany ees, workers may elect works councils to represent their
ATLAS OF WORK / WSI
0
1998 2000 2002 2004 2006 2008 2010 2012 2014 2016
Wages tend to be lower where
Collective bargaining agreements are made between individual employers
or employers’ associations and trade unions on behalf of workers employers and unions have not
negotiated a collective agreement
16 ATLAS OF WORKFEWER, BUT STILL STRONG
ATLAS OF WORK / DGB
Membership of the DGB member unions, 2005 and 2017, thousands 216 200
Food, Beverages and Catering
2005 Industry Union (NGG)
2017 252 278
392 255 Education and Science Workers‘ Union (GEW)
260 190
Construction-Agriculture-
Environment (IG BAU) Railway and Transport
Workers Union (EVG)*
United Services
749 638 Union (ver.di)
Mining, Chemicals and Energy
2,359 1,987
174 185
Industries Union (IG BCE)
Police Union (GdP)
Industrial Union of Metalworkers (IG Metall)
2,376 2,263
Total DGB
* 2005: Transnet; in 2010 combined with the GDBA transport union to form the EVG 6,778 5,995
Falling memberships: Many jobs
interests. In the public sector, the equivalent bodies are have been lost in large companies
known as staff councils. Works councils are common in despite well-organized unions
big companies, but fewer than one in ten workers of small
companies has a firm-level representation. Workers who
want to form a works council often face strong opposition ployers in Germany found ways to protect jobs, especially
from their employers. by using working time accounts and publicly supported
Another type of worker’s participation is the co-deter- short-time working schemes.
mination through employee representatives on superviso- Digitalization presents new challenges for the unions
ry boards. (German firms have a two-tier board system: an in collective bargaining activities as well as in worker’s
executive board (“Vorstand”) that deals with day-to-day participation. Safeguarding and improving working con-
issues, and a supervisory board (“Aufsichtsrat”) to over- ditions and social security along new paths will be a key
see it.) The parity co-determination in the coal and steel task for them in the future.
industry from 1951 regulates that in companies with more
than 1000 employees, there is parity in representation at
the board. Some companies with over 2,000 employees
ATLAS OF WORK / DESTATIS
WARNINGS TO EMPLOYERS
follow the same principle but with a double voting right Days lost to strikes and lockouts, per 1,000 employees
of the chair, and those with between 500 and 2,000 em-
ployees are subject to one-third of the board members 30 28.3
representing worker’s interest. But the number of compa-
25
nies subject to these rules is shrinking as they try to find
loopholes in German law or instead apply European legal 20
forms.
15
The value of worker’s participation was revealed dur- 12.2
ing the 2007/8 financial crisis. As unemployment shot up 10 8.8
7.3
around the world, trade unions, works councils and em-
5 approx. 3
0
Strikes in the labour-intensive 1995 1997 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017
services sector can eclipse In 2015, the main strikes were by teachers and employees of delivery services
big disputes involving metalworkers
ATLAS OF WORK 17UNEMPLOYMENT
OUT OF WORK,
OUT OF SIGHT
Germany is currently enjoying an economic Current figures show that 70 percent of women and
boom, with low unemployment and a large 78 percent of men aged 15 to 65 years are in work – as
proportion of people in work. But the scenario employees, self-employed, part-time workers or as indi-
could change – if the economy falters, viduals with minijobs (who may earn a maximum of 450
euros a month). That puts Germany in the top third for
joblessness rises. Unemployment benefits
overall employment among the European Union Member
are a vital mechanism to cushion fluctuations
States. A comparison with other European countries also
in the labour market for workers and shows that an unusually large number of people in Ger-
employers alike. many work part-time. In 2014, 29 million people had jobs
requiring social-security payments – but almost 8 mil-
L
ooking back through history, the supply and de- lion of those were part-time, a 66 percent rise since 2004.
mand of workers has very rarely been in balance. Women are four times more likely to work part-time than
During the 1950s and 1960s, Germany was con- men. The prominence of part-time work is partly caused
stantly in need of more workers, but afterwards unem- by the law that gives tax breaks for minijobs.
ployment rose sharply. Reunification in 1990 led to huge Despite the expanding labour market, 2.5 million peo-
numbers of job losses and unemployment only declined ple are still registered as unemployed. Another million
again after 2005. Currently 44 million people are gainful- are looking for work but do not count as unemployed
ly employed in Germany, some 32 million of them in jobs because they are attending training, are participating in
subject to social security contributions. In 2017, the num- government employment schemes, or are registered with
ber of people in employment hit a new high. private job agencies.
Any measure of unemployment is politically charged,
and the figures are subject to constant political debate.
Arguments rage over the true number of unemployed as
THE NORTH–SOUTH DIVIDE
Unemployment rates in March 2018, by state,
well as when, and whether, one can speak of “full em-
percent ployment”. East Germany officially had no joblessness,
so unemployment statistics did not exist. West Germany
Schleswig-Holstein hit its lowest unemployment levels in September 1965,
when 85,000 people were registered as out of work. Such
6.0
Mecklenburg-Western Pomerania figures are out of reach today, mainly because of the high
Hamburg
8.8 level of “base unemployment”: people who cannot find
Bremen 10.1 6.6
jobs because they are ill, lack qualifications or are close
8.5 Berlin to retirement age.
Lower Saxony
8.3 It is remarkable that in the last four years, over 2 mil-
Brandenburg
5.6 Saxony-Anhalt
6.8 lion new jobs, which are subject to social security con-
North Rhine- tributions, have been created – but at the same time, the
Westphalia
6.0 6.5 Saxony number of unemployed has fallen by only 400,000. Most
7.1 4.8 Thuringia of the new jobs have been taken up by migrants, as well
Hesse 3.2 – 4.6 as by tapping the “hidden reserve” of people who are
4.7 4.7 – 5.9 looking for work but are not registered as unemployed.
6.0 – 7.3
Rhineland-Palatinate 3.2 Training is seen as an effective way for the employ-
8.4 7.4 – 8.7
8.8 – 10.1 ment agencies and JobCenters to help the jobless. But
Saarland Bavaria
3.3 especially the JobCenters, which are tasked with taking
Baden-Wuerttemberg
ATLAS OF WORK / BA
Still in crisis: structural change has
overwhelmed former industrial
areas in western and eastern Germany
18 ATLAS OF WORKON THE WAY DOWN – UNTIL THE NEXT RECESSION
Unemployment in thousands and important influences
end of New world financial crisis
5,000 Economy boom 4,861
western Germany economic collapse
4,500 eastern Germany in eastern Germany effect of Hartz IV
all Germany
4,000 recession
decline in
3,500 unemployment
post-war recession due to
3,000 decline in oil price shock
2,533
unemployment recession due to
2,500 2,304
oil price shock
1,869 1,894
2,000
full employment,
1,500
with mild
recession 1,074
1,000 639
459
ATLAS OF WORK / BA
500
0
1950 1955 1960 1965 1970 1975 1980 1985 1990 1995 2000 2005 2010 2015 2017
The base level of unemployment used to rise
care of the longterm unemployed, lack the funding to from one crisis to the next. Now the trend
offer training. That is one reason why an estimated one seems to be broken, but the base still exists
million people have been out of work long-term. Their
chances of finding a job are small, and get smaller with
each passing day. ployers pay into to the unemployment insurance, which
The labour market is no ordinary market, such as for supports the inherent balancing processes of the labour
food or cars. For the vast majority of the employed, their market through social protection mechanisms. The most
job is the basis for their existence. That is why laws and important aspect of this is the “dole”, or unemployment
regulations protect workers and promote job creation. benefit, paid to workers when they lose their jobs.
Trade unions have the task of helping to regulate working For employers, unemployment benefit plays an im-
conditions, and especially pay. Education and social poli- portant role. It prevents workers who are laid off from
cies also affect the labour market, along with the general landing in an existential crisis, diminishing conflicts that
economic and structural policies to prevent and fight crisis. arise through dismissals. It also allows employers to shift
Unemployment insurance cushions workers from part of their responsibilities onto the insurance system,
the vagaries of the labour market. Both workers and em- which is why it is appropriate for both workers and em-
ployers to shoulder some of the costs. At the same time,
unemployment insurance ensures that jobseekers main-
The labour market might be opening tain and enhance their skills and can continue to offer
slowly for 1–2 million people. But their services to other employers in the future. That is
they will still find it hard to get a job also in the interest of employers.
ATLAS OF WORK / IAB
HARDCORE HARTZ FOUR
Recipients of unemployment benefit and basic social security, Long-term unemployed and fluctuation,
thousands 2016, thousands
89
902 933 822 819 888
2,897 2,898 2,691 2,480 2,691
122
1,995 1,965 1,869 1,661 60
2012 2014 2016 2018 (forecast)
unemployed for over 1 year
unemployment benefit basic social security (“Hartz IV”) find a new job within 1 month
ATLAS OF WORK 19NON-STANDARD JOBS
OUT OF THE ORDINARY
Deregulation of the labour market, Some 7.5 million people in Germany now hold a mini-
intended to cure the scourge of job, which allows them to earn up to 450 euros a month
unemployment, has led to the rise and to be exempt from tax and social security contribu-
of part-time, insecure, low-paying jobs. tions. For 5.5 million people, a minijob is their only source
of income. The original idea of minijobs was to enable
people to work their way into a full-time job. They have
T
he West German labour market has undergone two proved to be anything but that.
major changes over the last 30 years. In the early Part-time employment has also risen, especially
1980s, employment relationships were strikingly among women. These jobs help mothers reconcile work
uniform: a large majority – 86 percent of all employees – and family life, and achieve a good work-life balance. But
enjoyed permanent, full-time employment. After a long all too often they fail to offer a pathway leading to full-
struggle, workers’ movements and trade unions had forced time work. For many women, the birth of their first child
through reasonably standard conditions for pay and work- marks the start of part-time employment that can stretch
ing hours. One disadvantage was that such jobs were con- all the way to retirement. And many companies discrimi-
fined mainly to the male breadwinner of the family. nate against part-time workers by denying them a proper
But with the deregulation of the labour market in the career path.
mid-1980s, various new or unusual forms of employment Employers use the services of temporary workers as
blossomed: minijobs, part-time work, temporary work, a means of responding to ups and downs in production:
work contracts and fixed-term positions. Reasons were the employer can hire workers through an agency, then let
high unemployment and declining memberships in both them go again when they are no longer needed. Germa-
unions and employers’ associations that resulted in a ny now has over a million temporary workers. For many
weakening of sector-wide collective bargaining agree- people, temping, switching between phases of temporary
ments. It was getting harder for the partners in collective work, joblessness and work with no prospect of a perma-
bargaining arrangements to set the norms for their sector. nent contract have become a permanent way of life. A par-
ticular problem with temping is that it splits the workers
at a particular company into two classes: regular employ-
ees, and temps.
WOMEN’S WORK
Types of employment by gender, 1991 and 2016,
No official statistics exist for work contracts – where
percent workers are paid for performing an individual task. The
statistics capture only the numbers of self-employed, who
normal employment self-employed are the main group to take on such contracts. Their num-
alternative employment types* bers ballooned from 1.4 million in 1991 to 2.3 million in
2016. Half of the self-employed in Germany fall into the
11 12 low-income bracket. They are poorly protected against
6 illness, loss of earnings and in their old age. In 2004, as
12
1991 2016 part of the Hartz reforms of the employment market, the
German government promoted “ich-AGs” (“Me, Inc.”, or
83 76 one-person companies) as a way of cutting unemploy-
men ment. That dramatically increased the number of self-em-
ployed people – but for most, it has not led to a long-term
employment prospects.
5 7
The number of fixed-term positions has also risen
23 sharply. Some 44 percent of all new hires are now sub-
1991 31 2016
ject to such conditions. Half of them have their contracts
62 time-limited without a specific reason, such as to cover
72
ATLAS OF WORK / DESTATIS
women
It’s clear in the stats: many mothers
* in a narrow sense: includes part-time work less than 20 hours
a week, excludes self-employed, 15–64-year-olds only work less – voluntarily,
because of tradition, or by necessity
20 ATLAS OF WORKMIXING IT IN THE NORTH AND WEST
Share of alternative forms of employment* Hamburg
in total employment in Germany,
by district, 2016 Schleswig-Holstein Mecklenburg-Western
Pomerania
Bremen
percent
under 35 Lower Saxony Brandenburg
35 to 37.9
38 to 40.9
41 to 43.9 North Rhine- Berlin
44 to 46.9 Westphalia
47 to 49.9
over 50 Saxony
Hesse
Saxony-Anhalt
Thuringia
Rhineland-Palatinate
Saarland
Bavaria
Baden-Wuerttemberg
ATLAS OF WORK / HBS
* in broad sense: all employees who work less than full-time
In eastern Germany, more women work full-time
for employees who are on parental leave. Fixed-term po- than in the west; in the south, the favourable economy
sitions are frequently extended when they expire, so a keeps the number of alternative jobs down
worker can go for years, or even decades, without know-
ing how long he or she will still have a job. Fixed-term
contracts affect over 60 percent of all workers under the Criticism increases about the problems associated
age of 35. They are the dominant form of employment in with non-standard jobs. Proposals aim to convert inse-
certain sectors, such as public service and in scientific re- cure positions into regular ones. The introduction of the
search institutions. minimum wage in 2015 was a step towards preventing low
Those non-standard employment arrangements are pay from sinking even lower, and towards combatting the
a problem when they are precarious. They all follow a rise in the working poverty rate.
similar pattern: low income, limited social protection,
and little participation of workers. And even though the
risks are borne mainly by the workers in the non-standard
FULL TIME ON BORROWED TIME
categories, the mainstream workforce suffers too: fearful Full-time employees and those in alternative forms
of losing their own jobs, workers come under pressure to of employment, millions
make concessions to their employers. 25 full-time, contributing to social security 22.8
A far-reaching consequence of the growth in insecure
employment is the rise of the low-income wage sector, 20 21.7
which is bigger in Germany than elsewhere in Western
Europe. Some 1.2 million workers earn so little that they 15 alternative forms of employment
are dependent on the government’s “Hartz IV” income-
2.66 temporary
support scheme. The proportion of such working poor 10
low-wage 7.44 1.99 self-employed, no employees
doubled between 2004 and 2014.
2016 1.0 contract workers
ATLAS OF WORK / DGB
5
8.55 part-time, contributing to social security
Alternative forms of employment cover a broad spectrum: 0
some workers choose these types of jobs; others are 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
forced to by their economic and personal circumstances
ATLAS OF WORK 21DEMOGRAPHICS
A TALLER, THINNER PYRAMID
In the long term, demographic changes knowhow to produce ever more. This trend is further rein-
can be unpredictable. But medium term trends forced by the digitalization of many forms of production.
are nevertheless clear: Germany will have Having said that, it is clear that productivity increas-
more elderly people and fewer people of es have their limits. The future calls for three approaches.
First, a larger number of people must become gainfully
working age to support them. That will have
employed. Second, work has to be designed in such a way
a big impact on the labour market – and on
as to ensure that workers stay healthy and are given the
society as a whole. opportunity to remain employed for longer. And third,
more immigration is inevitable.
E
very year since 1972, more people have died each The employment rate in Germany is already fairly
year in Germany than have been born. In 2016, high. Some 74 percent of working-age women, and 82
some 800,000 babies took their first breath, but percent of men, are currently employed. But it is notable
more than 900,000 people took their last. Although the that while only 11 percent of men have part-time jobs, 48
birth rate has recovered somewhat in recent years, Ger- percent of women do. This discrepancy reveals a huge po-
many’s population continues to fall, and the consequenc- tential that remains to be tapped.
es for society and the labour market are far-reaching. Despite high employment rates, some 2.5 million peo-
How will society respond to the shifts in the age pyr- ple are still registered as unemployed. Another million are
amid? What will the relationship be between a shrink- not economically active but do not count as unemployed
ing number of actively employed people and the cohorts for one reason or another – they are either attending
that need to be supported in their old age? Will there be training or are registered with private job agencies. Demo-
enough people to care for older people, or to do skilled graphic change means that Germany cannot do without
jobs? With a shrinking population, can the German econ- the potential they represent.
omy maintain its leading position in the world economy? Those individuals who have jobs must continually im-
Demographic shifts are not a cause for immediate prove their skills. Lifelong learning is key to this. Workers
alarm; the ongoing improvements in productivity mean will need advice of the type currently offered by the Em-
that ever fewer people can use technology, energy and ployment Agencies; employers must take matters in their
own hands and assume responsibility for the further edu-
cation of their employees.
An important prerequisite for employees is a good
FROM CHEESEGRATER TO SKYSCRAPER
Age structure of the German population, 1,000 people
basic vocational education. The “education summit” of
2008 in Dresden included a pledge to halve the number
men war effects baby bust of young adults who join the labour market without a vo-
women baby boom unification bust cational qualification from 17 percent to 8.5 percent. Pro-
gress has been made on this front, but the goal has not
age yet been reached. It would make sense to support both
100 1950 2016 2060*
older adolescents and young adults by giving them the
90
opportunity to learn skills and make up for qualifications
80
they have missed.
70
Health is just as important as training and further ed-
60
ucation. Poor working conditions, monotonous work and
50
hard manual labour in many professions make people ill
40
and prevent them from working until the regular retire-
30
ment age. Companies will have to address this problem
20
if they want their employees to remain active and useful
10
for longer.
ATLAS OF WORK / DESTATIS
0
600 0 0 600 600 0 0 600 600 0 0 600
The effects of war and declining birth rates have given
war effects: deaths in Second World War, fewer births.
unification bust: fewer births in eastern Germany after 1990. * Forecast “population pyramids” another shape. They
need a new name: “population gherkin”, perhaps?
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