Forget the clichés - Gen Zers in Germany work more, report says
Young adults in Germany aged 20 to 24, are increasingly participating in the workforce, the official Institute for Employment Research (IAB) said from its Nuremberg headquarters on Monday.
Between 2015 and 2023, participation increased by more than six percentage points to around 76%, mainly due to students increasingly taking on part-time jobs, according to a report released on Monday by the institute.
Between 1995 and 2015, workforce participation of 20 to 24-year-olds had consistently declined, the report said.
Common clichés do not apply
The image that many older workers have of this generation -- that they prefer to cultivate their private lives over their professional ones - is inaccurate, the report said.
"This finding contradicts common stereotypes about the lack of willingness to work among Generation Z," the authors say in the study.
Generation Z includes those born from 1995 onwards, with the first cohort of this generation entering the 20 to 24 age group in 2015.
In comparison, the participation rate of 25 to 64-year-olds only increased by almost three percentage points to nearly 87% over the same period.
The institute also notes that young people are no more likely to change jobs than in the past and they don't have a preference for different working hours than older generations.
While the numbers indicated that between 2015 to 2023, both full-time and part-time employment in the age group increased, part-time employment rose significantly more. Among students aged 20 to 24, the employment rate reportedly increased by a good 19 percentage points to 56%, while for non-students, it increased by nearly two percentage points to almost 86%.

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


CNBC
a day ago
- CNBC
When it comes to saving, Gen Z asks: 'What's the point?' That's dangerous, expert says
Gen Z seems to have a case of economic malaise. Nearly half (49%) of its adult members — the oldest of whom are in their late 20s — say planning for the future feels "pointless," according to a recent Credit Karma poll. A freewheeling attitude toward summer spending has taken root among young adults who feel financial "despair" and "hopelessness," said Courtney Alev, a consumer financial advocate at Credit Karma. They think, "What's the point when it comes to saving for the future?" Alev said. That "YOLO mindset" among Generation Z — the cohort born from roughly 1997 through 2012 — can be dangerous: If unchecked, it might lead young adults to rack up high-interest debt they can't easily repay, perhaps leading to delayed milestones like moving out of their parents' home or saving for retirement, Alev said. But your late teens and early 20s is arguably the best time for young people to develop healthy financial habits: Starting to invest now, even a little bit, will yield ample benefits via decades of compound interest, experts said. "There are a lot of financial implications in the long term if these young people aren't planning for their financial future and [are] spending willy-nilly however they want," Alev said. That said, that many feel disillusioned is understandable in the current environment, experts said. The labor market has been tough lately for new entrants and those looking to switch jobs, experts said. The U.S. unemployment rate is relatively low, at 4.2%. However, it's much higher for Americans 22 to 27 years old: 5.8% for recent college grads and 6.9% for those without a bachelor's degree, according to Federal Reserve Bank of New York data as of March 2025. Here's a look at other stories affecting the financial advisor business. Young adults are also saddled with debt concerns, experts said. "They feel they don't have any money and many of them are in debt," said Winnie Sun, co-founder and managing director of Sun Group Wealth Partners, based in Irvine, California. "And they're wondering if the degree they have (or are working toward) will be of value if A.I. takes all their jobs anyway. So is it just pointless?" About 50% of bachelor's degree recipients in the 2022-23 class graduated with student debt, with an average debt of $29,300, according to College Board. The federal government restarted collections on student debt in default in May, after a five-year pause. The Biden administration's efforts to forgive large swaths of student debt, including plans to help reduce monthly payments for struggling borrowers, were largely stymied in court. "Some hoped some or more of it would be forgiven, and that didn't turn out to be the case," said Sun, a member of CNBC's Financial Advisor Council. Meanwhile, in a 2024 report, the New York Fed found credit card delinquency rates were rising faster for Gen Z than for other generations. About 15% had maxed out their cards, more than other cohorts, it said. It's also "never been easier to buy things," with the rise of buy now, pay later lending, for example, Alev said. BNPL has pushed the majority of Gen Z users — 77% — to say the service has encouraged them to spend more than they can afford, according to the Credit Karma survey. The firm polled 1,015 adults ages 18 and older, 182 of whom are from Gen Z. These financial challenges compound an environment of general political and financial uncertainty, amid on-again-off-again tariff policy and its potential impact on inflation and the U.S. economy, for example, experts said. "You start stacking all these things on top of each other and it can create a lack of optimism for young people looking to get started in their financial lives," Alev said. Young adults should try to rewire their financial mindset, experts said. "Most importantly, you don't want to bet against yourself," Sun said. "See it as an opportunity," she added. "If you're young and your expenses are low, this is the time to invest as much as you can right now." Time is working in their favor, due to the ability to compound investment growth over multiple decades, Alev said. While investing might "feel impossible," every little bit helps, even if it's just investing $10 a month right now into a tax-advantaged retirement account like a Roth IRA or 401(k). The latter is among the easiest ways to start, due to automatic payroll deduction and the possibility of earning a "match" from your employer, which is "probably the closest thing to free money any of us will get in our lifetime," Alev said. "This is actually the most exciting time to invest, because you're young," Sun said. Instituting mindful spending habits, such as putting a waiting period of at least 24 hours in place before buying a non-essential item, can help prevent unnecessary spending, she added. Sun advocates for paying down high-interest debt before focusing on investing, so interest payments don't quickly spiral out of control. Or, as an alternative, they can try to fund a 401(k) to get their full company match while also working to pay off high-interest debt, she said. "Instead of getting into the 'woe is me' mode, change that into taking action," Sun said. "Make a plan, take baby steps and get excited about opportunities to invest."


New York Post
a day ago
- New York Post
Jack Daniel's maker reveals surprising reason why Americans are drinking less whiskey
Executives from Jack Daniel's parent company, Brown-Forman Corp., warned that the business is seeing pressure from cannabis, weight-loss drugs and lackluster demand from Generation Z. Brown-Forman CEO Lawson Whiting told analysts on an earnings call that the 'same big three' is the reason that there has been lower demand for liquor. 'We've been saying that for 1.5 years now. And I know on the sell-side that the world seems to be a little bit split on the extent of the pressure that it's putting on our category. We'd be naive if we didn't say that there isn't some pressure coming from those,' Whiting told analysts. The economy is also playing a factor, with Whiting noting that consumers don't have as much dispensable income and are prioritizing vacations and lodging. They go to the grocery store, I think in some cases, spirits has fallen out of the basket a little bit. And that isn't obviously great,' Whiting said. Brown-Forman Corp. is Jack Daniel's parent company. AP However, he said that spirits are still taking market share from beer and wine. He also noted that while premiumization isn't the same as it was, 'it's been kind of stagnant a little bit,' which he said is mostly good news. 'I think the consumers – they haven't traded down necessarily,' he said. Brown-Forman CEO Lawson Whiting blamed lower whiskey demand on cannabis, weight-loss drugs and Gen Z. Brown Forman However, Brown-Forman CFO Leanne Cunningham said the company projected that the operating environment will remain volatile in fiscal 2026. 'We believe that through all of that continued kind of uncertainty that the consumer is going to remain at that sustained level that it is now,' Cunningham said.

Miami Herald
2 days ago
- Miami Herald
Grocers need to do a better job of explaining prices, shoppers say
Grocery shoppers have only a lukewarm impression of the steps supermarket operators have taken to communicate about factors that could or already do affect what they pay for food, according to survey results released Thursday by research firm The Feedback Group. Respondents to the poll of about 1,100 shoppers, conducted this spring, gave an average score of about 2.5 on a scale of 1 to 5 when asked if their primary grocery store has "communicated in some way" about how tariffs might impact prices. People were only slightly more pleased with the way stores have explained why groceries have become more expensive over the past few years, giving an average grade of just under 3. While people who participated in the survey placed the highest level of blame for increases in supermarket prices over the past few years on government policies and actions, they also indicated that they think grocers are benefiting from price increases. Respondents said they believe grocers have a profit margin of 30%, a figure that was down slightly from a similar poll The Feedback Group conducted last year. Grocery chains recorded a net profit margin after taxes of 1.6% in 2023, according to figures from FMI - The Food Industry Association. The majority (87%) of participants said they expect the tariffs the Trump administration has announced - but not fully implemented - would cause their grocery bills to increase, with only about half saying they thought their costs would increase significantly. Sixty-one percent of respondents said they are "stressed about rising grocery prices," although the figure varied significantly by generation. Seven in 10 participants who belong to Generation X reported that grocery inflation is stressful for them, compared with 65% for Generation Z and 36% for the Silent Generation. Asked which types of groceries they expect to become more expensive because of tariffs, almost 90% of poll participants said they think the prices of imported foods would increase. Two-thirds believe household goods will become pricier because of tariffs, while 63% of respondents said they think meat and poultry costs would go up. More than 60% of participants said they are buying more items on sale because of grocery inflation, which has recently eased. Half said they eat at home more frequently, while about 40% have bought more private label products. Copyright 2025 Industry Dive. All rights reserved.