Refugee crisis: German Chancellor Olaf Scholz balances labour needs and migrant deportations

German chancellor Olaf Scholz warned against relying on the initial success of the so-called for the placement of refugees. Since September 2023, significantly more refugees from Ukraine have been placed into work. By July 2024, 266000 were employed, an increase of 71000 compared to the same month of 2023. Among people from other main origin countries, the total number of employed personnel had risen to 704000, an increase of 74000 compared to previous year. 

German Labor ministry head Hubertus Heil stated that out of 266000 employed Ukrainian migrants, 113000 of them had regular jobs.

Recent reports by Institute of Employment Research (IAB) suggest that about two thirds, 64 percent of refugees who arrived in 2015 now have jobs, with 75 percent of them working full time. The rate of employment has slowly but steadily increased.

Welfare Payments

The ruling government has called on all employers to offer more in service language courses so that refugees can get ready for placement and jobs as and when needed.

German officials have implemented various measures to change conditions for refugees in the country, including introduction of a cashless debit card system for employed persons benefits requiring community benefits. Several states including Hamburg and Thuringia have already introduced the prepaid card system. The card can be used to purchase local products and the authorities are trying to extend the facility to all over the country by the end of this year.

The general public of Germany are in support of this initiative with 82 percent in favour of the work program and 77 percent supporting the debit card system.

Labour Shortage

Germany is a nation with an acute labour shortage. The country has a huge foreign worker base and the number increased by 283000 in 2023. The federal republic needs immigration to balance out the job vacancies giving a chance for migrants and foreign nationals to come work and settle in Germany. 

The nation issued a record 80000 employment visas in just the first half of 2024 that is from Jan to July. Over half of these visas were issued to skilled workers showing a rise as 37000 visas were issued to immigrants searching for employment in the same period in 2023.