Analysis and Optimization of Labor Market Policy in East Germany After German Reunification

Research Article
Open access

Analysis and Optimization of Labor Market Policy in East Germany After German Reunification

Siyao Huang 1*
  • 1 University of Glasgow    
  • *corresponding author 2555114h@student.gla.ac.uk
Published on 13 September 2023 | https://doi.org/10.54254/2754-1169/15/20230909
AEMPS Vol.15
ISSN (Print): 2754-1177
ISSN (Online): 2754-1169
ISBN (Print): 978-1-915371-73-7
ISBN (Online): 978-1-915371-74-4

Abstract

The merger of East and West Germany in 1991 was a very important event in world history and had a great impact not only on the world but also on Germany itself. In particular, the transition of the former GDR is of great concern. Among them, the labor market problem in eastern Germany is one of the important challenges that the former GDR has to face in the transition. Using documentary and comparative analysis, this paper focuses on the excessive unemployment rate and the lack of public welfare policies in the labor market of eastern Germany after 1991. This paper aims to analyze whether the policies adopted by the German government to alleviate the problem are effective in the long run. Although these policies were controversial at the beginning of their implementation, some scholars consider them a failure. However, in view of the current development, these policies are beneficial and feasible for developing the eastern part of Germany in the long run.

Keywords:

labor market policy, east Germany, German reunification, optimization

Huang,S. (2023). Analysis and Optimization of Labor Market Policy in East Germany After German Reunification. Advances in Economics, Management and Political Sciences,15,176-182.
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References

[1]. CEIC, GDP per Capita: West Germany incl Berlin. last accessed 2022.9.25 https://www.ceicdata.com/en/german-y/esa-2010-gdp-per-capita-by-region/gdp-per-capita-west-germany-incl-berlin

[2]. CEIC, GDP per Capita: East Germany excl Berlin. last accessed 2022.9.25 https://www.ceicdata.com/en/german-y/esa-2010-gdp-per-capita-by-region/gdp-per-capita-east-germany-excl-berlin

[3]. Ketzmerick, T. (2016). The Transformation of the East German Labour Market: From short-term Responses to long-term Consequences. Historical Social Research / Historische Sozialforschung, 41(3 (157)), 229–255. http://www.jstor.org/stable/43997048

[4]. Solga, H., & Diewald, M. (2001). The East German Labour Market After German Unification: A Study of Structural Change and Occupational Matching. Work, Employment & Society, 15(1), 95–126. http://www.jstor.org/stable/23747787

[5]. Lechner, M., Miquel, R. & Wunsch, C. (2007). The Curse and Blessing of Training the Unemployed in a Changing Economy: The Case of East Germany After Unification. German Economic Review, 8(4), 468-509. https://doi.org/10.1111/j.1468-0475.2007.00415.x

[6]. Zhao, B. (2007). A study on unemployment in the eastern part of Germany after reunification (Master’s thesis, Lanzhou University). https://kns.cnki.net/KCMS/detail/detail.aspx?dbname=CMFD2007&filename=2007115010.nh

[7]. Tu, J. (2010). The Research of the Social Security system integration After the German reunification. (Master’s thesis, Huazhong University of Science and Technology). https://kns.cnki.net/KCMS/detail/detail.aspx?dbname=CMFD2012&filename=1012013949.nh

[8]. Du, Z. (2000). 10 years of construction in eastern Germany Inspiration for the development of western China. ECONOMIST (05), 23-28. doi:10.16158/j.cnki.51-1312/f.2000.05.004.

[9]. V, Syed. (2011). What is Comparative Study. SSRN Electronic Journal. 10.2139/ssrn.1962328.

[10]. Lin, G. (2009). Higher Education Research Methodology-Literature Method. International Education Studies, 2(4), 179-181.

[11]. Shen, Q. (1999). The labor market in eastern Germany. German Studies, 1(14), 18-24.

[12]. He, C (2001). The social security system in contemporary Germany. Beijing: Law Press.

[13]. Shen, Q. (1997). [1] Analysis and reflection on the causes of high unemployment in Germany. China Reform, 09, 61-62.

[14]. Lange, T. (1993), “Waking up to Reality: The Labour Market in Eastern Germany”, Journal of European Industrial Training, Vol. 17 No. 6. https://doi.org/10.1108/03090599310038587

[15]. Chazan, G., Miller, J. (2022) The surprising revival of eastern Germany. Financial Times, Final accessed: 2022.9.26. https://www.ft.com/content/f1d0e732-d523-40db-b753-ae404498dc7a

[16]. PwC, Germany - Individual - Significant developments. 2022.6.30, Final accessed: 2022.9.26. https://taxsummaries.pwc.com/germany/individual/significant-developments

[17]. ZEIT ONLINE, East-West Exodus: The Millions Who Left. 2019.5.30, Final accessed: 2022.9.27. https://www.zeit.de/politik/deutschland/2019-05/east-west-exodus-migration-east-germany-demography?utm_referrer=https%3A%2F%2Fwww.google.com.hk%2F

[18]. Nehra, W. (2022) Statistics still show significant wage gap between East and West Germany. I AM EXPAT. Final accessed: 2022.9.26. https://www.iamexpat.de/career/employment-news/statistics-still-show-significant-wage-gap-between-east-west-germany


Cite this article

Huang,S. (2023). Analysis and Optimization of Labor Market Policy in East Germany After German Reunification. Advances in Economics, Management and Political Sciences,15,176-182.

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About volume

Volume title: Proceedings of the 2nd International Conference on Business and Policy Studies

ISBN:978-1-915371-73-7(Print) / 978-1-915371-74-4(Online)
Editor:Javier Cifuentes-Faura, Canh Thien Dang
Conference website: https://2023.confbps.org/
Conference date: 26 February 2023
Series: Advances in Economics, Management and Political Sciences
Volume number: Vol.15
ISSN:2754-1169(Print) / 2754-1177(Online)

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References

[1]. CEIC, GDP per Capita: West Germany incl Berlin. last accessed 2022.9.25 https://www.ceicdata.com/en/german-y/esa-2010-gdp-per-capita-by-region/gdp-per-capita-west-germany-incl-berlin

[2]. CEIC, GDP per Capita: East Germany excl Berlin. last accessed 2022.9.25 https://www.ceicdata.com/en/german-y/esa-2010-gdp-per-capita-by-region/gdp-per-capita-east-germany-excl-berlin

[3]. Ketzmerick, T. (2016). The Transformation of the East German Labour Market: From short-term Responses to long-term Consequences. Historical Social Research / Historische Sozialforschung, 41(3 (157)), 229–255. http://www.jstor.org/stable/43997048

[4]. Solga, H., & Diewald, M. (2001). The East German Labour Market After German Unification: A Study of Structural Change and Occupational Matching. Work, Employment & Society, 15(1), 95–126. http://www.jstor.org/stable/23747787

[5]. Lechner, M., Miquel, R. & Wunsch, C. (2007). The Curse and Blessing of Training the Unemployed in a Changing Economy: The Case of East Germany After Unification. German Economic Review, 8(4), 468-509. https://doi.org/10.1111/j.1468-0475.2007.00415.x

[6]. Zhao, B. (2007). A study on unemployment in the eastern part of Germany after reunification (Master’s thesis, Lanzhou University). https://kns.cnki.net/KCMS/detail/detail.aspx?dbname=CMFD2007&filename=2007115010.nh

[7]. Tu, J. (2010). The Research of the Social Security system integration After the German reunification. (Master’s thesis, Huazhong University of Science and Technology). https://kns.cnki.net/KCMS/detail/detail.aspx?dbname=CMFD2012&filename=1012013949.nh

[8]. Du, Z. (2000). 10 years of construction in eastern Germany Inspiration for the development of western China. ECONOMIST (05), 23-28. doi:10.16158/j.cnki.51-1312/f.2000.05.004.

[9]. V, Syed. (2011). What is Comparative Study. SSRN Electronic Journal. 10.2139/ssrn.1962328.

[10]. Lin, G. (2009). Higher Education Research Methodology-Literature Method. International Education Studies, 2(4), 179-181.

[11]. Shen, Q. (1999). The labor market in eastern Germany. German Studies, 1(14), 18-24.

[12]. He, C (2001). The social security system in contemporary Germany. Beijing: Law Press.

[13]. Shen, Q. (1997). [1] Analysis and reflection on the causes of high unemployment in Germany. China Reform, 09, 61-62.

[14]. Lange, T. (1993), “Waking up to Reality: The Labour Market in Eastern Germany”, Journal of European Industrial Training, Vol. 17 No. 6. https://doi.org/10.1108/03090599310038587

[15]. Chazan, G., Miller, J. (2022) The surprising revival of eastern Germany. Financial Times, Final accessed: 2022.9.26. https://www.ft.com/content/f1d0e732-d523-40db-b753-ae404498dc7a

[16]. PwC, Germany - Individual - Significant developments. 2022.6.30, Final accessed: 2022.9.26. https://taxsummaries.pwc.com/germany/individual/significant-developments

[17]. ZEIT ONLINE, East-West Exodus: The Millions Who Left. 2019.5.30, Final accessed: 2022.9.27. https://www.zeit.de/politik/deutschland/2019-05/east-west-exodus-migration-east-germany-demography?utm_referrer=https%3A%2F%2Fwww.google.com.hk%2F

[18]. Nehra, W. (2022) Statistics still show significant wage gap between East and West Germany. I AM EXPAT. Final accessed: 2022.9.26. https://www.iamexpat.de/career/employment-news/statistics-still-show-significant-wage-gap-between-east-west-germany