Germany’s Workforce Sees Record Share of Older Employees
For the first time, nearly one in four German employees is between ages 55 and 65.
Germany now employs more older workers than ever before: about 7.8 million people aged 55 to under 65 held social-insurance jobs in 2024, equal to 23% of all employees—the highest level on record, according to new data from the Federal Employment Agency (BA).
Baby boomers are driving the shift
The decade-long climb—from just under 17% a decade ago to 23% today—reflects the large baby-boomer cohort moving into later working life. BA data indicate the momentum has persisted into early 2025, with continued gains among older employees.
Where older workers are concentrated
The age profile varies by sector. Public administration has the highest share of older staff: roughly 29% of employees are between 55 and 65. Finance and insurance, as well as manufacturing, each count more than a quarter of their workforces in this age band. By contrast, services continue to expand their share of older workers while manufacturing shows a slight decline.
Why it matters for the labor market
An aging workforce brings mixed consequences. On one hand, employers benefit from experience and reliability. As BA regional board member Daniel Terzenbach noted, companies that want to stay competitive “rely on older employees for their experience and dependability.” On the other, re-entry after job loss is harder for this group: older jobseekers spend an average of 23 weeks unemployed before returning to a social-insurance job, versus about 20 weeks across all ages.
Risks ahead: retirements and skills gaps
Many of today’s 55–65-year-olds are expected to retire over the next decade, intensifying Germany’s long-running skills shortage and straining public services if vacancies go unfilled. BA’s latest release underscores that safeguarding the talent pipeline requires opportunities for all age groups, with tailored support for late-career workers returning to employment.
What’s behind the record share of older employees?
Demographics. The baby-boomer generation has “aged into” the 55–65 bracket, lifting the proportion of older workers to a new high.
Which sectors are most exposed to retirements?
Public administration stands out (29% of staff are 55–65), and both finance/insurance and manufacturing have more than one-quarter of their workforces in that range—implying significant replacement needs as retirements accelerate.
Are older workers still finding jobs?
Yes—but if they become unemployed, they typically take longer to return. BA reports an average of 23 weeks out of work for older jobseekers who do re-enter employment, versus 20 weeks overall.
Will the trend continue?
BA observes that the rise in older employment extended into early 2025, suggesting the high share will persist in the near term as the demographic wave moves through the labor market.
By the numbers (BA, 2024–2025):
- 7.8 million employees aged 55–65 (social-insurance jobs)
- 23% of all employees, up from ~17% a decade ago
- 29% of public-administration staff are 55–65
- >25% in finance/insurance and in manufacturing
- 23 weeks: average unemployment spell for older jobseekers who return to work (vs. 20 weeks overall)
Sources: Presseportal DIE ZEIT