Traditionally, March is associated with job growth in Germany, known as the 'spring revival', but this year the economic downturn has hindered hiring efforts.

While there has been growth in social security-covered employment compared to last year, the industrial sector is experiencing significant declines that are affecting overall job growth.

Andrea Nahles, head of the Federal Employment Agency, noted a slow 'spring revival' in the labor market, which is being hindered by the current economic downturn.

In March 2025, Germany's unemployment rate rose to 6.4%, reflecting a four-tenths increase from the same month in 2024, as reported by the Federal Employment Agency.

Despite a decrease of 22,000 unemployed individuals from February to March, the total number of unemployed reached 2.967 million, which is an increase of 198,000 compared to March 2024.

In Hessen, the unemployment rate saw a slight decline of 0.1 percentage points, landing at 5.8% in March 2025.

Several major companies in Germany have announced plans for mass layoffs in the coming years, exacerbating the current economic difficulties.

The Employment Market Barometer, an indicator of employment trends, has declined for seven consecutive months, suggesting continued challenges in the labor market.

In the training market, there are 327,000 applicants competing for 416,000 apprenticeship positions, indicating a rise in applicants but a decrease in available positions compared to the previous year.

Additionally, there has been a slight uptick in short-time work, with 240,000 employees receiving benefits in January 2025, reflecting ongoing economic challenges.

This March marks the weakest decline in unemployment since 2009, a period when unemployment actually increased during the financial crisis.

The ongoing rise in unemployment is largely attributed to challenging economic conditions, which have negatively impacted labor market sentiment.