Labor market tensions are easing in Germany

By: Trademagazin editor Date: 2020. 08. 31. 11:06

Although the tensions in the German labor market due to the coronavirus crisis seem to have eased, according to the economic experts of some leading financial institutions, a reversal trend cannot be expected yet – hvg.hu wrote. Part-time employment seems to be working. Economic growth is already expected to be 5 percent for the third quarter.

Fritzi Köhler-Geib, chief economist at the state-owned KfW group, said it would be “too early to blow the alarm” as the biggest risk of recovery still lies in the further course of the pandemic. According to Katharina Utermöhl, an expert at the Allianz Group, the situation in the German economy may even deteriorate in the autumn, so it is not worth wasting a word on the possibility of reversing the trend. He sees the recovery, even without a second wave of the pandemic, losing momentum during the fall. (hvg.hu, MTI)