Agency Report –
During the same period, however, 20,300 new jobs were created in the country, “partly as a result of redeployments to other corporate functions or new hires as a result of cost savings,” Destatis said.
This meant Germany had a net loss of around 50,800 jobs, particularly affecting the production of goods, for this period, the Wiesbaden-based office said.
Some 900 companies relocated jobs within the European Union, making it the most popular destination, while 700 of the surveyed firms chose countries outside the EU.
Lower wage costs prompted the move at 74% of companies, while 62% cited strategic decisions. Other cost advantages were cited by 59% of companies, followed by the shortage of skilled workers in Germany, which drove 38% of firms to relocate jobs.
The surveyed companies said legal, administrative and tax issues were the main hurdles to moving jobs abroad, as well as concerns that the costs of relocation would exceed the benefits.
Overall, 59% of companies with 50 or more employees traded goods or services with foreign partners in 2023, the statistical office said.
