Politics & Policies

Refugees in Germany – Only 8 percent find work in the first year

The influx of refugees into Germany is both a boon and a burden for the economy: it needs Germanyhuge numbers of migrants to rejuvenate an aging workforce, but must financially support many for years until they learn the language and gain qualifications.

The country needs about half a million migrants a year until 2050 to counter that fall in the workforce, a study by think-tank the Bertelsmann Foundation found.

Each unemployed refugee costs taxpayers 12,000 euros ($13,000) a year, government figures show. Only 8 percent find work in the first year and most rely on the state for everything from food and housing to language courses.

But the costs will be offset within five to 10 years as more and more refugees start working and paying taxes, according to a study by the German Institute for Economic Research (DIW).

The study forecast that rising migrant employment would gradually drive up German national output, with per capita income increasing by 0.5 percent by 2030. Deutsche Bank has published similar findings on the effect of migrants on German national output.

Chosen excerpts by Job Market Monitor. Read the whole story at Germany needs migrants as workforce dwindles, but must pay for them | Reuters

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