German Labor Market Takes Breather as Unemployment Inches Higher

  • Joblessness rose 7,000 in June vs estimated 10,000 drop
  • Rate of people out of work remains at record low of 5.7%
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German unemployment unexpectedly inched higher in June, suggesting companies are taking a breather from hiring ahead of the summer holidays.

The number of people out of work in Europe’s largest economy rose by a seasonally adjusted 7,000 to 2.547 million, data from the Federal Labor Agency in Nuremberg showed on Friday. The median estimate in a Bloomberg survey was for a decline of 10,000. The jobless rate was unchanged at 5.7 percent.