The seasonally adjusted charge dropped to five.2% from 5.3% the earlier month, the BA federal labour company mentioned, the equal of 23,000 fewer unemployed folks.
“The restoration seen in current months continued in December,” company head Detlef Scheele mentioned in a press release.
In uncooked figures, the variety of unemployed sat slightly below 2,330,000, down round 378,000 since December 2020.
Unemployment in Europe’s high economic system climbed as excessive as six p.c within the months following the speedy unfold of the coronavirus by way of Europe within the first half of 2020.
Germany has relied closely on subsidised short-term work schemes to assist companies and employees whether or not the pandemic storm, with almost 6 million Germans positioned on lowered hours on the peak of the disaster in April 2020.
The scheme was nonetheless supporting 710,000 folks in line with the newest out there figures from October, the BA mentioned.
An uptick in purposes made for the short-term work scheme on the finish of the 12 months confirmed the “uncertainty” brought on by rising numbers of coronavirus circumstances and the emergence of the extremely transmissible Omicron variant, the BA mentioned.
About 286,000 folks had been signed as much as the programme in December, up from 104,000 the month earlier than.
The general enchancment within the job market over 12 months was “encouraging” however “the brand new virus variant shall be a troublesome check for the German economic system,” mentioned Fritzi Koehler-Geib, chief economist at public lender KfW.