Germany’s Workforce Without Qualifications Hits Record High as Minijob Reform and Retail Automation Gather Speed
Published on 07/21/2026 at 19:52 | Redaktion boerse-global.de
The number of employed Germans without a vocational qualification has jumped 21.5 percent in eight years, reaching 4.57 million in 2025, according to a study by the Bertelsmann Foundation. That figure — up from 3.76 million in 2017 — now represents nearly 14 percent of all workers in jobs subject to social security contributions. The unemployment rate among unskilled workers sits above 20 percent, a stark contrast to the national average of just 3.5 percent.
The trend places fresh pressure on a labor market already grappling with structural shifts. Apprenticeship opportunities are shrinking: the number of training positions on offer dropped 4.6 percent last year, while only 476,000 new dual-education contracts were signed — 2 percent fewer than in 2024. More than half of mid-sized firms — 54 percent — point to inadequate school-level preparation as the main barrier to hiring apprentices. Roughly 40,000 young people who wanted a training place went unplaced in 2025, the highest tally since 2009.
Against that backdrop, a government-appointed pension commission has recommended scrapping the special tax status of so-called mini-jobs — positions currently capped at €603 in monthly earnings. Under the proposal, most mini-job holders would begin paying full contributions to pension, long-term care and health insurance, with an exemption only for students. Employers’ associations reacted with sharp opposition, warning of worsening staff shortages and more red tape. A café owner in the rural district of Northeim — where around 10,500 people hold mini-jobs — described the plan as “exorbitant cost increases” for small businesses. The retail sector accounts for 16.9 percent of those jobs, hospitality for 14.5 percent. Edeka Hessenring also publicly rejected the proposal.
That same cost pressure is reshaping the German retail landscape. Commercial rents are climbing sharply: in Berlin, small shops faced rent increases of up to 40 percent last year, according to the German Institute of Urban Affairs (Difu), which noted that many landlords are overcharging long-tenured tenants. Retailers are responding with automation and layoffs.
Zalando is cutting roughly 200 positions at its Berlin headquarters — on top of 450 job cuts the year before — and is closing its logistics center in Erfurt, which employs 2,100 people, at the end of September. Starting in 2027, the company will shift those activities to Bucharest. MediaMarkt is betting on technology: its new “Pay-on-Shopfloor” system lets customers pay directly on the sales floor, bypassing traditional checkouts, while AI tools will soon assist with advice and repairs.
Amazon is taking a different tack: from September 2026 it will raise hourly wages for logistics staff to €18.87. The Verdi union, however, continues to demand a collective bargaining agreement.
There is one bright spot in the premium segment. Chinese silk brand Lilysilk plans to open its first European brick-and-mortar store in Munich in July 2026. Yet for the broader retail sector, conditions remain tight as the race for qualified personnel intensifies alongside ever-tighter regulatory demands.
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