Recruit Sales in Germany Update Bulletin December 2025

GERMAN ECONOMIC INDICATORS December 2025

The German economy is showing signs of stagnation and slow growth in December 2025, with Q3 2025 GDP growth reported at and a projected annual growth of for 2025. Key indicators show weak business confidence (Ifo Business Climate Index at 88.1) and slightly improved but still low consumer confidence (-23.20 points). Inflation is running at about.

Significant issues include a weak labour market, persistent irritations from global uncertainty, and structural challenges, although inflation is gradually decreasing.

A positive outlook is constrained by high insolvency rates, with the larger Institutes highlighting the urgent need for structural reforms to boost long-term growth by the government.

GDP stagnated at 0.0% in Q3 2025 compared to the previous quarter, narrowly avoiding a technical recession. The full-year 2025 growth is projected to be 0.2%. The annual inflation rate was 2.3% in October 2025, with services inflation slightly higher and goods inflation slowing.

Business Sentiment: The Ifo Business Climate Index fell to 88.1 in November 2025, indicating weakening confidence, particularly among manufacturers and retailers.

Consumer Confidence: The GfK Consumer Climate Indicator rose slightly to -23.20 points in December 2025 from -24.10 in November, though it remains low. Consumers are cutting down on spending, as food and diesel prices continue to rise.

Investor Sentiment: The ZEW Indicator of Economic Sentiment decreased to 38.5 in November 2025, reflecting some concerns about the government's ability to address structural issues. 

German Exports December 2025

The latest available data for November 2025 shows exports at 129.8 billion euros. Looking ahead, forecasts suggest exports may reach 129.7 billion euros in January 2026. The overall economic outlook for Germany predicts continued pressure on exports, mainly due to tariffs, stiffer competition in key markets such as the car industry and steel-making, and global uncertainty. However, a gradual recovery is expected to start in 2026. However, there are still no signs of a sustained recovery.

Employment December 2025

As of December 2025, Germany's employment situation is showing signs of stagnation, with the number of people in employment remaining virtually unchanged in October after a slight decline in September, even though several car industry-related companies have recently laid off thousands of workers.

The unemployment rate is expected to be around 3.6% in 2025. The German Statistical Office reported that approximately 46.0 million persons were in employment in October 2025.

Some Facts About Germany (context for recruiters and hiring managers)

Population & workforce: Germany is Europe’s largest economy and has a working-age population that supports a broad, highly skilled labour market. Recent figures show 45.8 million persons in employment (Aug 2025, Destatis).

Trade orientation: Germany remains highly export-oriented; shifts in global trade policy and demand (notably the U.S. market) materially affect industrial hiring and sales pipelines.

Policy & investment: The federal government and EU policy moves in 2025 (infrastructure, industrial decarbonisation support, and targeted investment programs) are intended to stabilise domestic demand and create selective growth pockets.

These initiatives are likely to create opportunities across industrial, project, and solutions sales in sustainability- and energy-intensive sectors.

Summary

If you are looking to recruit experienced sales professionals at any level to capitalise on new or existing markets within Germany, the UK, Europe, or further afield, please get in touch with us for a no-obligation discussion.

NB: Please note the information contained herein is an aggregate of news stories, by commentators widely available - readers should seek independent verification, and this in no way represents the views or opinions of Standley Associates.

We will continue to monitor news reports and provide monthly summaries of the trends.