East-West Disparities Persist 35 Years After German Reunification
Three and a half decades after German reunification, stark disparities in the world of work between East and West persist. The proportion of East German executives remains low at 12.1 percent, and wages in the East lag behind those in the West by around 21 percent.
The German Association of Executives (ULA), the political voice of executives in Germany, warns that real unity requires actively addressing these differences. ULA President Roland Angst will participate in German Unity Day celebrations in Saarbrücken to engage in dialogue with decision-makers.
The approximately 21 percent lower average wages of full-time employees in East Germany reflect lasting economic disparities since reunification. These include structural differences in industrial composition, lower wage levels, and labor market conditions. Despite some convergence since the introduction of the minimum wage in 2015, significant gaps remain. The care rate for children under three years old in East Germany is also higher than in the West, leading to different work-life balance realities. Some sectors still have collective agreement differences between East and West Germany, highlighting the need for continued effort towards unity in the world of work.
ULA calls on the economy, politics, and society to continue working towards German unity in the world of work. Despite progress, significant disparities remain thirty-five years after reunification, with East German executives making up only 12.1 percent of the total and average wages in the East lagging behind those in the West by around 21 percent.
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