In a stagnant eurozone , German locomotive seems to have found the formula to repeat the miracle of postwar low unemployment rate , economic growth and increased exports . But this glossy showcase for hiding an unthinkable fourth largest economy and second largest exporter in the world social reality. This flexible labor market explains an apparent paradox reflected in the Social Report 2013 published by the German Federal Office of Statistics. According to the report , the level of employment in 2012 reached a record 41.5 million people, but the total number of hours worked was below the rate for 1991 . " More and more people working part time voluntarily or because they do not offer anything else," the report said .
Poverty in a rich country
This job insecurity has been accompanied by an increased "risk of poverty " . According to the official flag "is considered precarious situation when a household whose income does not exceed 60 % of the median income of the entire country." Constantly ready money is all that is below 848 euros per month ( equivalent to U.S. $ 1,158 ) . In purely numerical terms it is clear that a poor in Germany is not as poor as in Latin America. But if you take into account the cost of living in Germany , the hardness of the European winter and the monthly salary of mini-jobs (450 euros) the film changes . Although employment has grown in the last ten years , today more than 16 % of the population is at " risk of poverty " compared with 15.2 % in 2007. The increase may seem minimal, but reflects a new social premise: having a job is not enough to escape poverty. According to German researcher Sebastian Dullien , author of " decent Capitalism " , the changes of the last decade are creating a new model. " The double reform social security and the labor market has greatly increased poverty and inequality. We are becoming a country of low wages ," the BBC said Dullien .
Global world , flexible work
The starting point was the Agenda 2010 reform led by the Social Democratic Chancellor Gerhard Schroeder in 2002 to combat the challenges of globalization. That year the German growth was 0 % and had a high rate of "chronic" unemployment considered . Many economists Germany called the " sick man of Europe ," incapable of coping with the competition from China and other Asian countries . According to the head of the European Research Council for Foreign Affairs , Hans Kundnani , Agenda 2010 favored employers at the expense of workers. "To compete globally entrepreneurs were moving production to countries with lower labor costs. This forced the unions to accept wage moderation . So they worked did not see a drop in their standard of living for the security reform social and those that work had not felt that they benefited from this so-called German ' second miracle ' . relaxed to that the employment contributed to lower labor costs plus the German joined , "he told BBC Kundnani . The unions negotiating tripartite system -business- government established after World War II paved the way for this adjustment was made, but considering that GDP growth between 2002-2012 was 1.2 % the economic performance is far from being a "miracle" . " we had a couple of pretty good years , but the growth has not been as strong . wage stagnation was a fall in living standards and our domestic consumption," Dullien told BBC world.
The long-term
A poverty rates , add a crisis that is hitting very hard to retirees. The official estimate is that 30 % receive a pension of 688 euros per month ( U.S. $ 928) . The intervention of social security helps supplement this income , but the current labor market flexibility will go a shadowy society account. According to a recent report by the Ministry of Labour contributions of people with mini-jobs to public pension funds will give them a right to a 3.11 euros per month (U.S. $ 4.19 ) per year worked. With the retirement age to 67 , it can be calculated that someone who has had mini-jobs in hotels or restaurants, will have a monthly pension of 140 euros ( U.S. $ 189) at retirement. According to Sebastian Dullien is a situation that affects not only the mini-jobs . "There are full-time jobs that pay about 5 euros per hour (U.S. $ 6.75) . Pension of such wages also will be below the poverty line ," he told BBC News .
A model in trouble
Despite these data , Germany has been called a "miracle " because it spanned two international - the crisis, financial crash of 2008 and the sovereign debt of 2010 - with a level of growth which, while not outstanding, was remarkable if as compared with the rest of the eurozone. But this miracle is beginning to dissipate. In 2010 and 2011 the economy grew by 4.2 % and 3 % respectively, partly recovering the ground lost during the global economic recession in 2009 ( 5.1% contraction ) . Since then the story has changed . In 2012 growth was 0.7% . In 2013 0.5%. Percentages are comparable with the crisis years of the century . Still, Chancellor Angela Merkel was reelected in September, but was forced to form a coalition with the Social Democrats to govern. The price that the Social Democrats put the pact was an improvement of social conditions , including a minimum wage, an increase in pensions and investment in infrastructure. This new covenant is not the end of the easing. According to Hans Kundnani , globalization will continue to impose conditions. "This is a dilemma for all developed economies . The problem is that Germany tried to compete with emerging economies based on price and not on innovation and investment. The new measures driven by social democrats may increase consumption. 's argument is right that this minimum wage will be job losses , "he told BBC Kundnani
.
Poverty in a rich country
This job insecurity has been accompanied by an increased "risk of poverty " . According to the official flag "is considered precarious situation when a household whose income does not exceed 60 % of the median income of the entire country." Constantly ready money is all that is below 848 euros per month ( equivalent to U.S. $ 1,158 ) . In purely numerical terms it is clear that a poor in Germany is not as poor as in Latin America. But if you take into account the cost of living in Germany , the hardness of the European winter and the monthly salary of mini-jobs (450 euros) the film changes . Although employment has grown in the last ten years , today more than 16 % of the population is at " risk of poverty " compared with 15.2 % in 2007. The increase may seem minimal, but reflects a new social premise: having a job is not enough to escape poverty. According to German researcher Sebastian Dullien , author of " decent Capitalism " , the changes of the last decade are creating a new model. " The double reform social security and the labor market has greatly increased poverty and inequality. We are becoming a country of low wages ," the BBC said Dullien .
Global world , flexible work
The starting point was the Agenda 2010 reform led by the Social Democratic Chancellor Gerhard Schroeder in 2002 to combat the challenges of globalization. That year the German growth was 0 % and had a high rate of "chronic" unemployment considered . Many economists Germany called the " sick man of Europe ," incapable of coping with the competition from China and other Asian countries . According to the head of the European Research Council for Foreign Affairs , Hans Kundnani , Agenda 2010 favored employers at the expense of workers. "To compete globally entrepreneurs were moving production to countries with lower labor costs. This forced the unions to accept wage moderation . So they worked did not see a drop in their standard of living for the security reform social and those that work had not felt that they benefited from this so-called German ' second miracle ' . relaxed to that the employment contributed to lower labor costs plus the German joined , "he told BBC Kundnani . The unions negotiating tripartite system -business- government established after World War II paved the way for this adjustment was made, but considering that GDP growth between 2002-2012 was 1.2 % the economic performance is far from being a "miracle" . " we had a couple of pretty good years , but the growth has not been as strong . wage stagnation was a fall in living standards and our domestic consumption," Dullien told BBC world.
The long-term
A poverty rates , add a crisis that is hitting very hard to retirees. The official estimate is that 30 % receive a pension of 688 euros per month ( U.S. $ 928) . The intervention of social security helps supplement this income , but the current labor market flexibility will go a shadowy society account. According to a recent report by the Ministry of Labour contributions of people with mini-jobs to public pension funds will give them a right to a 3.11 euros per month (U.S. $ 4.19 ) per year worked. With the retirement age to 67 , it can be calculated that someone who has had mini-jobs in hotels or restaurants, will have a monthly pension of 140 euros ( U.S. $ 189) at retirement. According to Sebastian Dullien is a situation that affects not only the mini-jobs . "There are full-time jobs that pay about 5 euros per hour (U.S. $ 6.75) . Pension of such wages also will be below the poverty line ," he told BBC News .
A model in trouble
Despite these data , Germany has been called a "miracle " because it spanned two international - the crisis, financial crash of 2008 and the sovereign debt of 2010 - with a level of growth which, while not outstanding, was remarkable if as compared with the rest of the eurozone. But this miracle is beginning to dissipate. In 2010 and 2011 the economy grew by 4.2 % and 3 % respectively, partly recovering the ground lost during the global economic recession in 2009 ( 5.1% contraction ) . Since then the story has changed . In 2012 growth was 0.7% . In 2013 0.5%. Percentages are comparable with the crisis years of the century . Still, Chancellor Angela Merkel was reelected in September, but was forced to form a coalition with the Social Democrats to govern. The price that the Social Democrats put the pact was an improvement of social conditions , including a minimum wage, an increase in pensions and investment in infrastructure. This new covenant is not the end of the easing. According to Hans Kundnani , globalization will continue to impose conditions. "This is a dilemma for all developed economies . The problem is that Germany tried to compete with emerging economies based on price and not on innovation and investment. The new measures driven by social democrats may increase consumption. 's argument is right that this minimum wage will be job losses , "he told BBC Kundnani
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