Berlin takes aggressive steps to tackle long-term unemployment
Senator Elke Breitbach announced the city’s new program, providing 1,000 jobs for workers hardest hit during the pandemic
On July 29, Berlin’s senator for integration, labor and social affairs, Elke Breitenbach, announced that there were still deep traces left by the pandemic on the Berlin labor market. She explained that the long-term unemployment rate had increased by 111% since March 2020 and that there was a lot to do.
She also unveiled the city’s plan to turn the tide with the Solidarisches Grundeinkommen (SGE) program – an employment program capable of providing 1,000 jobs to the hardest-hit Berliners.
The longer you remain unemployed, the harder it is to find a job
Berlin is the hardest hit state in Germany by the effects of pandemic unemployment, especially long-term unemployment. The term refers to anyone registered as unemployed for at least one year.
Senator Breitenbach explained that this development is particularly worrying because the longer unemployment lasts, the more difficult it is to find a job. Further, she said that while workers can break the streak and get a new job, employer-employee relationships are usually short-lived and unstable.
Since March 2020, the number of long-term unemployed in Berlin has increased by 111.8%, while more than 200,000 people registered as unemployed in July alone. This brings Berlin’s unemployment rate to 9.9%, which is an improvement on last year.
New hope for the unemployed in Berlin
The reason why people suddenly lose their jobs is probably twofold: on the one hand, the pandemic has shrunk the economy, and it still does to a large extent, and on the other hand, the city could offer less measures Support.
This is why the Berlin Senate has redoubled its efforts to stop and reduce the risk of long-term unemployment. The Solidarisches Grundeinkommen (SGE) pilot project created 1,000 jobs for the hardest hit. Jobs will come with benefits, safe and fairly paid work, and personal development through coaching for new skills.
In addition, the state will increase the budget for the law on participation opportunities for employers who are oriented towards the common good. This will be coupled with a more comprehensive coaching program targeting the long-term unemployed for their digital skills development.
It should be noted that the federal government refused to participate in this program and that the city is going it alone.
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