Job market in North Rhine-Westphalia - youth, pursuing education, yet jobless?

The job market continues to show a receptiveness towards individuals with a completed apprenticeship, according to Pascal Heß from the Institute for Employment Research (IAB). This is a significant shift from the job market five years ago, which was impacted by various upheavals and crises.

One of the key differences between the current market and that of the past is the problem of job mismatch. While the mismatch between job openings and candidates is generally less pronounced with a two- to three-year vocational training, such as apprenticeships, it is more prevalent with university degrees.

As of late August, there were around 25,000 places available for the current training year. However, regional differences in the availability of training places are enormous. The Ruhr area, for instance, has too few training places, while South Westphalia and the Münsterland region offer the greatest choice.

The increasing trend of digitalization and automation has led to a rise in unemployment among academics. In the last three years, the number of unemployed academics has more than doubled. This is largely due to AI making some jobs obsolete, a mismatch between studied fields and job market demand, and integration challenges with educated refugees requiring lengthy certification processes for their professions.

On the positive side, the number of people employed in the service sector has increased compared to the previous year. However, most job losses last year were in the manufacturing sector, particularly in the metal and electrical industry.

The training market, on the other hand, has become a surplus of candidates due to fewer training places offered by companies due to the poor economic situation. Many skilled professionals with a dual vocational training are retiring due to demographic changes, which could potentially exacerbate the issue.

In conclusion, while the job market presents challenges, particularly for academics and in certain regions, there is still a strong demand for individuals with vocational training. The IAB continues to monitor these trends closely to provide insights and recommendations for policy makers and businesses.