Press release No. 524 of 16 November 2021
Persons in employment with place of employment in Germany, 3rd quarter of 2021:
+0.4% on the previous quarter (seasonally adjusted)
+0.7% on the previous quarter (not seasonally adjusted)
+0.6% on the same quarter of the previous year
WIESBADEN – In the third quarter of 2021, there were roughly 45.1 million people in employment whose place of employment was in Germany. According to provisional calculations of the Federal Statistical Office (Destatis), the seasonally adjusted number of persons in employment increased considerably by 169,000 (+0.4%) on the previous quarter, after it had grown already in the second quarter of 2021 by 93,000 people (+0.2%). The number of persons in employment thus was below the pre-crisis level. On a seasonally adjusted basis, the number of persons in employment in the third quarter of 2021 decreased by 0.8%, or 370,000 people, on the fourth quarter of 2019, the last quarter before the coronavirus crisis.
Without seasonal adjustment, the increase in the number of persons in employment on the second quarter of 2021 was even larger, that is, 327,000 people or +0.7%, due to the beginning autumn upturn. The upturn in 2021 was markedly higher than the relevant average of the three pre-crisis years 2017 to 2019 (+223,000 people; +0.5%).
Largest year-on-year increase in employment since the 4th quarter of 2019
Compared with the third quarter of 2020, the number of persons in employment was up by 267,000 (+0.6%) in the third quarter of 2021. The year-on-year increase in employment thus rose considerably (second quarter of 2021: +22,000 people; 0.0%). In the first quarter of 2021, employment had decreased by 1.5% on a year earlier. This year-on-year development is mainly due to the sharp fall in the number of persons in employment in 2020, when the measures taken to contain the coronavirus pandemic had a negative impact on the labour market. Nevertheless, a marked upward trend has become evident which goes beyond this base effect. A larger year-on-year employment increase than in the third quarter of 2021 was last observed in the fourth quarter of 2019, the last pre-crisis quarter (+0.7% or +314,000 people).
It should be noted that the measures taken to contain the coronavirus pandemic have also led to an increased uncertainty of the employment estimates. The significant increase and subsequent decline in short-time work, however, does not affect the number of persons in employment because, according to the employment accounts, short-time workers are still counted as persons in employment irrespective of the extent of short-time work.
Largest employment increase observed in the service sector
In the third quarter of 2021 it was the service sector that contributed most to the increase in employment on the same quarter a year earlier (+303,000 people; +0.9%). However, the development differed between the individual branches. The largest absolute employment gains were recorded for public services, education, health (+261,000 people or +2.3%), followed by business services (+115,000 or +1.9%), which also include employment activities, and information and communication (+43,000 or +3.1%). A larger decrease in employment was again recorded in trade, transport, accommodation and food services (-106,000 or -1.1%). After the number of persons in employment had increased in other service activities (incl. associations and other membership organisations) until the first quarter of 2020, it now continued to decline (-20,000 or -0.7%). However, the downward trend in financial and insurance activities, which had been observed for a number of years, almost stopped in the third quarter of 2021 (-1,000 or -0.1%).
In industry (excluding construction), the number of persons in employment continued to decline in the third quarter of 2021 year on year (-46,000 people or -0.6%). In construction, however, employment gains were recorded again (+32,000; +1.2%). Employment was down in agriculture, forestry and fishing by 22,000 (-3.7%).
More employees, fewer self-employed
The year-on-year increase in employment (+267,000 or +0.6%) was mainly due to the positive development of the number of employees subject to social insurance contributions in the third quarter of 2021. However, larger employment losses were recorded both in the number of persons only employed in marginal jobs (people employed on a low-pay basis or on a short-term basis, people in job opportunities) and in the number of self-employed people. All in all, the number of employees increased by 368,000 (+0.9%) in the third quarter of 2021 compared with the third quarter of 2020, reaching 41.1 million. The number of self-employed including family workers decreased by 101,000 (-2.5%) to 3.9 million compared with the same quarter a year earlier.
Total hours worked up 2.4%
The average number of hours worked per person in employment rose by 1.8% to 351.0 hours in the third quarter of 2021 compared with the same quarter a year earlier according to first provisional results of the Institute for Employment Research of the Federal Employment Agency. The total number of hours worked, that is, the number of persons in employment multiplied by the hours worked per person in employment, was up by 2.4% to 15.8 billion hours in the same period. This development, too, was due to a base effect caused by the low level a year earlier. This shows especially the effect of declining short-time work. According to data of the Federal Employment Agency, short-time work reached a very high level of up to six million people in 2020, while it fell to roughly 760,000 people until August 2021. This is not reflected in the number of persons in employment, but in the number of hours worked.
Employment in the European Union
According to information released by Eurostat, the Statistical Office of the European Union, on 17 August 2021, employment (calculated by means of methods harmonised across Europe) increased on average more in the 27 Member States of the European Union (EU) and the euro area than in Germany (0.0%) in the second quarter of 2021 on a year earlier. The increase amounted to 0.6% in the EU and 0.5% in the euro area. Eurostat will release data for the third quarter of 2021 on 16 November 2021.
Note on the results published earlier:
In addition to the first calculation of the number of persons in employment and the number of hours worked for the third quarter of 2021, the results published so far as of the first quarter of 2021 were recalculated as part of the regular revision of national accounts. The recalculation did not lead to any change in the year-on-year change rates of the quarterly employment figures.
| Year, quarter 1 | Persons in employment 2 | Hours worked 3 | |||||
|---|---|---|---|---|---|---|---|
| Total | employees | self- employed 5 | total | per person in employment | |||
| seasonally adjusted value 4 | original value | mn hours | hours | ||||
| persons in 1,000 | |||||||
| 1: For persons in employment: annual and/or quarterly averages 2: Results of employment accounts as part of national accounts; persons in employment whose place of employment is in Germany (domestic concept). 3: Source: Institute for Employment Research of the Federal Employment Agency, Nuremberg. 4: Seasonal adjustment using X13-ARIMA in JDemetra+. 5: Including family workers. qtr = quarter | |||||||
| 2018 | - | 44,858 | 40,635 | 4,223 | 62,113 | 1,384.7 | |
| 2019 | - | 45,268 | 41,117 | 4,151 | 62,539 | 1,381.5 | |
| 2020 | - | 44,898 | 40,860 | 4,038 | 59,454 | 1,324.2 | |
| 2018 | 1st qtr | 44,669 | 44,388 | 40,146 | 4,242 | 15,662 | 352.9 |
| 2nd qtr | 44,815 | 44,781 | 40,554 | 4,227 | 14,783 | 330.1 | |
| 3rd qtr | 44,922 | 45,019 | 40,795 | 4,224 | 15,855 | 352.2 | |
| 4th qtr | 45,030 | 45,245 | 41,044 | 4,201 | 15,812 | 349.5 | |
| 2019 | 1st qtr | 45,175 | 44,906 | 40,720 | 4,186 | 15,952 | 355.2 |
| 2nd qtr | 45,276 | 45,230 | 41,069 | 4,161 | 14,727 | 325.6 | |
| 3rd qtr | 45,283 | 45,378 | 41,231 | 4,147 | 16,060 | 353.9 | |
| 4th qtr | 45,337 | 45,559 | 41,448 | 4,111 | 15,800 | 346.8 | |
| 2020 | 1st qtr | 45,385 | 45,122 | 41,036 | 4,086 | 15,604 | 345.8 |
| 2nd qtr | 44,768 | 44,712 | 40,662 | 4,050 | 13,235 | 296.0 | |
| 3rd qtr | 44,701 | 44,794 | 40,760 | 4,034 | 15,446 | 344.8 | |
| 4thqtr | 44,742 | 44,965 | 40,983 | 3,982 | 15,169 | 337.4 | |
| 2021 | 1st qtr | 44,705 | 44,451 | 40,504 | 3,947 | 14,941 | 336.1 |
| 2nd qtr | 44,798 | 44,734 | 40,809 | 3,925 | 14,147 | 316.2 | |
| 3rd qtr | 44,967 | 45,061 | 41,128 | 3,933 | 15,815 | 351.0 | |
| Percentage change on the previous quarter | Percentage change on the same period of the previous year | ||||||
| 2018 | - | 1.4 | 1.6 | -1.2 | 1.0 | -0.3 | |
| 2019 | - | 0.9 | 1.2 | -1.7 | 0.7 | -0.2 | |
| 2020 | - | -0.8 | -0.6 | -2.7 | -4.9 | -4.1 | |
| 2018 | 1st qtr | 0.4 | 1.5 | 1.8 | -1.2 | -0.1 | -1.6 |
| 2nd qtr | 0.3 | 1.4 | 1.7 | -1.1 | 2.0 | 0.5 | |
| 3rd qtr | 0.2 | 1.3 | 1.6 | -1.1 | 0.9 | -0.5 | |
| 4th qtr | 0.2 | 1.2 | 1.5 | -1.2 | 1.5 | 0.3 | |
| 2019 | 1st qtr | 0.3 | 1.2 | 1.4 | -1.3 | 1.9 | 0.7 |
| 2nd qtr | 0.2 | 1.0 | 1.3 | -1.6 | -0.4 | -1.4 | |
| 3rd qtr | 0.0 | 0.8 | 1.1 | -1.8 | 1.3 | 0.5 | |
| 4th qtr | 0.1 | 0.7 | 1.0 | -2.1 | -0.1 | -0.8 | |
| 2020 | 1st qtr | 0.1 | 0.5 | 0.8 | -2.4 | -2.2 | -2.6 |
| 2nd qtr | -1.4 | -1.1 | -1.0 | -2.7 | -10.1 | -9.1 | |
| 3rd qtr | -0.1 | -1.3 | -1.1 | -2.7 | -3.8 | -2.6 | |
| 4th qtr | 0.1 | -1.3 | -1.1 | -3.1 | -4.0 | -2.7 | |
| 2021 | 1st qtr | -0.1 | -1.5 | -1.3 | -3.4 | -4.2 | -2.8 |
| 2nd qtr | 0.2 | 0.0 | 0.4 | -3.1 | 6.9 | 6.8 | |
| 3rd qtr | 0.4 | 0.6 | 0.9 | -2.5 | 2.4 | 1.8 | |
| Sector of economic activity 2 | 2020 | 2020 | 2021 | |||||
|---|---|---|---|---|---|---|---|---|
| 1st qtr | 2nd qtr | 3rd qtr | 4th qtr | 1st qtr | 2nd qtr | 3rd qtr | ||
| 1: Results of employment accounts as part of national accounts (domestic concept); annual and quarterly averages. 2: Classification of Economic Activities, 2008 edition (WZ 2008). qtr = quarter | ||||||||
| Persons in 1,000 | ||||||||
| Agriculture, forestry and fishing | 580 | 555 | 616 | 601 | 549 | 531 | 590 | 579 |
| Industry, excluding construction | 8,180 | 8,261 | 8,184 | 8,140 | 8,131 | 8,062 | 8,066 | 8,094 |
| Manufacturing | 7,576 | 7,659 | 7,581 | 7,535 | 7,521 | 7,456 | 7,459 | 7,483 |
| Construction | 2,579 | 2,542 | 2,564 | 2,595 | 2,615 | 2,569 | 2,604 | 2,627 |
| Trade, transport, accommodation and food services | 10,012 | 10,143 | 9,937 | 10,006 | 9,964 | 9,737 | 9,765 | 9,900 |
| Information and communication | 1,398 | 1,401 | 1,392 | 1,395 | 1,406 | 1,406 | 1,423 | 1,438 |
| Financial and insurance activities | 1,086 | 1,088 | 1,081 | 1,083 | 1,090 | 1,080 | 1,079 | 1,082 |
| Real estate activities | 477 | 476 | 475 | 478 | 479 | 478 | 482 | 489 |
| Business services | 6,106 | 6,181 | 6,066 | 6,065 | 6,114 | 6,036 | 6,108 | 6,180 |
| Public services, education, health | 11,480 | 11,446 | 11,411 | 11,436 | 11,632 | 11,621 | 11,670 | 11,697 |
| Other services | 3,000 | 3,029 | 2,986 | 2,995 | 2,985 | 2,931 | 2,947 | 2,975 |
| Change in % on the corresponding period of the previous year | ||||||||
| Agriculture, forestry and fishing | -3.2 | -2.1 | -3.6 | -2.9 | -4.0 | -4.3 | -4.2 | -3.7 |
| Industry, excluding construction | -2.2 | -1.1 | -2.0 | -2.9 | -2.9 | -2.4 | -1.4 | -0.6 |
| Manufacturing | -2.4 | -1.2 | -2.3 | -3.2 | -3.1 | -2.7 | -1.6 | -0.7 |
| Construction | 1.3 | 1.7 | 0.9 | 1.1 | 1.3 | 1.1 | 1.6 | 1.2 |
| Trade, transport, accommodation and food services | -2.1 | 0.0 | -2.9 | -2.5 | -3.1 | -4.0 | -1.7 | -1.1 |
| Information and communication | 1.5 | 3.0 | 1.5 | 0.9 | 0.5 | 0.4 | 2.2 | 3.1 |
| Financial and insurance activities | -0.9 | -0.8 | -1.0 | -1.1 | -0.7 | -0.7 | -0.2 | -0.1 |
| Real estate activities | -0.6 | -0.4 | -1.0 | -0.6 | -0.2 | 0.4 | 1.5 | 2.3 |
| Business services | -1.9 | 0.1 | -2.3 | -3.0 | -2.4 | -2.3 | 0.7 | 1.9 |
| Public services, education, health | 1.5 | 2.0 | 1.3 | 1.4 | 1.6 | 1.5 | 2.3 | 2.3 |
| Other services | -1.3 | 0.7 | -2.1 | -1.9 | -2.3 | -3.2 | -1.3 | -0.7 |
Methodological notes:
The differing comparative periods must be taken into account in all press releases on short-term indicators. Short-term economic monitoring focuses on comparisons with the previous month or previous quarter. These reflect short-term economic trends. A comparison with the previous year is intended to offer a long-term comparison of levels and is hardly subject to seasonal fluctuations. Due to strong temporary decreases and increases during the current coronavirus crisis, the results of month-on-month/quarter-on-quarter and year-on-year comparisons may differ considerably. Both of the two perspectives are important: what is the short-term economic trend compared with the previous month/previous quarter, and what is the current level compared with the previous year’s level? In order to provide also a direct comparison with the pre-crisis level, all press releases on short-term indicators available in seasonally adjusted form now include a comparison with February 2020 or the fourth quarter of 2019.
Detailed data and long time series on persons in employment and the number of hours worked are available in the GENESIS-Online database in the tables on national accounts of the Federation (81000-0012 and 81000-0016) and on the labour market (13321).
