Daily News

View All News

Germany – Number of temporary employees falls due to impact of legislation

26 July 2019

On average in 2018, approximately one million temporary workers were employed in Germany, a decrease of 32,000, or 3%, when compared to the same period of the previous year, according to data from the Federal Employment Agency (BA) and the Federal Employers' Association of Personnel Service Providers (BAP).

The data also showed that the share of temporary workers (of all employees) fell to 2.6% in 2018.

BA said the declines were due to changes in temporary staffing legislation.

Sebastian Lazay, President of BAP commented on the figures, “In my opinion, two factors are decisive for the declines in temporary staff: On the one hand, the uncertain order situation of client companies due to the current economic downturn and, on the other hand, the cross-sector personnel shortages caused by demographic change.”

“A further complicating factor is the recent legal revision of the ‘Temporary Employment Act’, which makes it difficult for the temporary employment sector to exercise its core competency of finding a suitable job for both well-off and less-qualified people. At least on this point, the policy could improve and cease to regulate the industry more and more, and understand them (temp employees) instead as an indispensable part of the German labor market.”