Women’s Workforce Participation Soars

Women's Workforce Participation Soars

Germany has witnessed a substantial increase in female workforce participation since its reunification in 1991. Data released this week by the Federal Statistical Office (Destatis) reveals a nationwide rise of 30 percent in the employment of women over that period.

In 1991, women’s employment rate stood at 57 percent, compared to nearly three-quarters (74 percent) as of 2024. This shift is particularly notable when considering regional differences historically. In 1991, eastern German states and Berlin recorded a higher employment rate among women – 66 percent – compared to western states, where it was 54 percent. By 2024, these regional disparities have largely diminished, with both eastern and western regions reporting employment rates of 74 percent.

Among individual states, Bavaria and Saxony exhibit the highest female employment rates for 2024, both at 77 percent, closely followed by Baden-Württemberg at 76 percent. Bremen, Saarland and Berlin show the lowest rates – 67 percent, 70 percent and 71 percent respectively – states that also display lower overall employment rates within Germany.

A persistent gender wage gap, measured as the hourly earnings difference between men and women, remains a factor. The unadjusted gender pay gap across Germany stood at 16 percent in 2024. This gap was slightly larger in western states and Berlin (17 percent) compared to eastern states, where it was considerably smaller at 5 percent. This difference in the size of the gap reflects historical trends, with the gap notably larger in the west at 24 percent in 2006 compared to 6 percent in the east at that time.

Earnings themselves have undergone significant transformation. In 1991, a clear discrepancy existed between earnings in eastern and western Germany. By 2024, this difference had narrowed, although it persisted. In 1991, average gross monthly earnings for full-time employees in eastern states totaled 924 euros, more than double the figure in western states (1,987 euros).

In 2024, full-time employees in western states (including Berlin) have more than doubled their earnings to an average of 4,810 euros. In eastern Germany, real monthly earnings have more than quadrupled, reaching an average of 3,973 euros. Despite this considerable increase, average earnings in the west remain roughly a fifth (21 percent) higher than in the east. This data considers average gross monthly earnings in manufacturing and services, excluding bonuses.

Germany’s overall economy has expanded significantly since 1991. Notably, eastern German states have made remarkable strides in economic development, as measured by the price-adjusted Gross Domestic Product (GDP) per capita. Thuringia saw the most significant increase at +163 percent, while Schleswig-Holstein registered the lowest at +17 percent. Unified Germany has, as a whole, increased its economic output per capita by 40 percent since 1991.

As of 2024, Germany’s GDP per capita stands at 50,819 euros. Hamburg leads with 84,486 euros, followed by Bremen (59,785 euros) and Bavaria (58,817 euros). Saxony-Anhalt, Thuringia and Mecklenburg-Vorpommern currently record the lowest GDP per capita at 36,517 euros, 36,942 euros and 37,656 euros respectively.