FX.co ★ German Unemployment Holds at 2020 High

Germany’s seasonally adjusted unemployment rate held steady at 6.4% in August 2026, matching expectations and remaining at its highest level since 2020. The number of unemployed increased by a slightly smaller-than-forecast 4,000 to 2.996 million, keeping the figure just below the politically sensitive threshold of 3 million. On a non-seasonally adjusted basis, unemployment stayed above 3 million for the second consecutive month, rising by 36,260 to 3.061 million.

Federal Labor Office head Andrea Nahles said the labor market showed “little momentum” beyond normal seasonal patterns, extending the subdued trend of recent months. Unemployment typically rises from July due to the summer holiday period, and Germany’s weak economic performance has further weighed on the labor market. Even so, recent indications of stronger economic growth could offer some support in the coming months.