Pandemic hitting German wages harder than financial crisis

The numbers do not reflect the impact of the government's job-perserving short-time work scheme, under which the state partially makes up the lost earnings of workers placed on reduced hours by their employers.

Reuters | Berlin | Updated: 17-02-2021 13:38 IST | Created: 17-02-2021 13:10 IST
Pandemic hitting German wages harder than financial crisis
Image Credit: Pixabay

Germans' nominal earnings fell for the first time in over a decade, the statistics office said on Wednesday, releasing data that showed the coronavirus pandemic having a more severe impact on earnings than the 2007/08 financial crisis. Preliminary data showed nominal earnings had shrunk by 0.6% in 2020, the first contraction since the data series began in 2007. In inflation-adjusted real terms, earnings fell 1%, the first contraction since 2013.

Months of lockdown aimed at containing the spread of the virus have had a devastating impact on the global economy, and Europe's largest economy, with its heavy reliance on exports, has not been spared. The numbers do not reflect the impact of the government's job-preserving short-time work scheme, under which the state partially makes up the lost earnings of workers placed on reduced hours by their employers.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)


TRENDING

OPINION / BLOG / INTERVIEW

Viral variants and vaccine nationalism pose two-pronged threat to Covid victory

... ...

Tracking Fintech during COVID-19: Harnessing power of technology

Its abundantly clear now that as fintech cements its place in the financial sector, accelerated further by the COVID-19 pandemic, it could open the sector to new possibilities by harnessing the power of technology to deliver financial ...

Tectonic turns: How technology shaped healthcare over the decades

Tracing an episodic evolution, with technology at the interface of human and his health....

World Water Day sees crises of inequality in countries both rich and poor

... ...

Videos

Latest News

FOREX-Vaccine hopes boost euro, dollar on back foot as yields off highs

The dollar wallowed near a six-week low against its peers on Tuesday as the euro led a rally on the back of a brightening outlook for the regions vaccination programme.The dollar had already been losing traction as U.S. bond yields have hov...

Former U.S. vice president Walter Mondale dies at 93 -media

Adds details, background. By Will DunhamApril 19 - Walter Mondale, a leading liberal Democratic voice of the late 20th century who was U.S. vice president under Jimmy Carter and lost in a historic landslide to Ronald Reagan in the 1984 pres...

PRESS DIGEST- Financial Times - April 20

The following are the top stories in the Financial Times. Reuters has not verified these stories and does not vouch for their accuracy. Headlines- UK prepares to set out steeper climate targets httpson.ft.com3akeSnZ - UKs MI5 warns of spy t...

FEATURE-Betting on bamboo: Indonesian villages struggle to source safe, green power

By Harry Jacques SALIGUMA, Indonesia, April 20 Thomson Reuters Foundation - C utting through the glassy water of a mangrove-fringed inlet on the east coast of Indonesias Siberut island, Mateus Sabojiat and Anjelina Sadodolu arrived home by ...

Give Feedback