Germany news: Unemployment tops 3 million as industry slumps

Over three million people are currently unemployed in Germany, with 1.1 million drawing unemployment checks, authorities say. Also, sales of air conditioners have doubled as heat continues to crush cities. DW has more.

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A file photo of Germany's Federal Employment Agency (Agentur für Arbeit) from July 20, 2026
Unemployment rates in Germany went up in July at the same time job openings fellImage: Steven Mohr/SNS/picture alliance

Skip next section What you need to know

What you need to know

  • Germany’s employment agency recorded a jump of 71,000 in monthly unemployment numbers, pushing the total to over 3 million

  • EU’s biggest economy reports 6.4% overall unemployment rate

  • Sales of portable air conditioners in Germany doubled in the first six months of 2026, according to market researcher NIQ

Here is a roundup of some of the top headlines from and about Germany on Friday, July 31, 2026:

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Skip next section Germans go crazy for portable A/C units, doubling year-on-year sales07/31/2026July 31, 2026

Germans go crazy for portable A/C units, doubling year-on-year sales

As summers continue to get hotter, Germans’ appetite for air conditioners has grown exponentially. 

According to the US market researcher NielsenIQ, or NIQ, German consumers purchased some 387,100 portable air-conditioning units in the first half of 2026 — an increase 219,000 units or 130% over Q1/2 2025.

May saw a 238% year-on-year sales increase and June — when a heatwave swept the country — a 121% jump in which 290,000 units were sold, 159,000 units more than the same month in 2025.

NIQ, which shared its market analytics data with German news agency DPA, said the units sold cost roughly €350 ($400) and were of two types: Transportable inside units that pump moisture out of doors via a small tube, as well as so-called split units consisting of interior and exterior elements.

The latter, more powerful type has gained significantly in popularity say NIQ analysts.

NIQ experts cited price, availability and easy operation as sales points for portable units, though they noted that these lack the efficiency and comfort of larger, fixed installation A/C systems, which were not included in the data.

https://p.dw.com/p/5I5llSkip next section Unemployment tops three million07/31/2026July 31, 2026

Unemployment tops three million

Germany’s Federal Employment Agency (BA) released its July unemployment numbers on Friday, showing an increase in joblessness. July’s numbers jumped 71,000 over June, and 28,000 compared to July 2025. 

“Unemployment and underemployment tend to jump significantly in July due to seasonal factors,” said AB board member Daniel Terzenbach in Nuremberg. “Overall, this is a continuation of the weak labor market trends seen in recent months.”

The seasonal dip has to do with the fact that apprenticeships tend to end in summer, leaving young people temporarily unemployed. Businesses also tend to postpone hiring until after the summer break.

Total unemployment now stands at 6.4% (up 0.2% from June), with some 3,007 million in Germany without work — the first time unemployment has pushed past three million since April.

Demand for workers was also lower in July according to the BA, which registered 653,000 advertised job openings, though that is 25,000 more than at the same time in 2025. 

The number of people drawing unemployment checks also increased by 107,000 to 1.108 million; and statistics put the number of able-bodied welfare recipients at 3.775 million, down 121,000 compared to July 2025.

Not all of those receiving welfare were unemployed, with some working to reach minimum subsistence levels.

Employment agencies however also registered an increase in the number of people looking to enter apprenticeships — 418,000, up 4,000 from July 2025.

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https://p.dw.com/p/5I5CsSkip next section Welcome to our coverage07/31/2026July 31, 2026

Welcome to our coverage

Jon Shelton AFP, AP, dpa, Reuters, SID, KNA | Saim Dušan Inayatullah Editor

Guten Tag from DW news in Bonn where temperatures are not as high as feared but it’s plenty muggy.

Today we’ll kick off with monthly unemployment numbers, which are up. This is not too surprising in terms of seasonal trends — unemployment always jumps in July. Still, the number are also higher than last year. The Federal Employment Agency says this reflects the generally weak state of the German labor market.

Those Germans with money to spare, however, are buying portable air conditioners at double last year’s rates. The units are flying off the shelves wie warme Semmeln (like warm rolls… as opposed to hotcakes) as Europe bakes.

A majority of Germans (83%) also feel that municipalities are doing too little to protect citizens from the dangers of extreme heat, with many calling for more public drinking fountains, cool spaces and more urban greenery — tell that to your neighbor with the new paved garden in front of their double carport! 

Interestingly, political affiliation appeared to play little or no role in people’s opinions about protection against the heat — despite the ideological battles being waged for years over the concept of climate change. When it’s hot, it’s hot, it seems, no matter your political persuasion.

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