A new report on young people and temporary employment in Germany, shows that 46.4% of all dependent employees holding a fixed-term contract were aged 15 to 24 years (using micro-census data from 2011). As the data also indicates, nearly two thirds of these youngsters were still engaged in an apprenticeship or a similar training. Being employed on a fixed-term contract as an apprentice is part of the German system of vocational education and training. Complementing higher education, VET remains a cornerstone in training youngsters for the labour market and teaching them an occupation. It is one of the main reasons for fixed-term employment amongst youngsters and also contributes to a low youth unemployment rate. The study was undertaken on behalf of the European Foundation for the Improvement of Working and Living Conditions.
As expected, firms react to the sudden drop in their demand for labour with a chain of different policies. The statistics show a severe decrease in hirings.
Companies are suspected of expanding the use of flexible forms of employment, such as fixed-term contracts, temporary and contingent work, at the expense of the development of their core workforce.
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German Economic Institute (IW) 
