Can the gap between the employment rates in Germany and France be explained?
The employment rate is far higher in Germany than in France (76% versus 65% for 15-to 64-year olds in 2018), and this gap has worsened since 2004. Can we explain why there is such a wide gap between the German and the French employment rates? Possible explanations are: The youth employment rate (skewed by apprenticeship in Germany) and the retirement age; The difference between labour force skills; The gap between the levels of competitiveness and labour costs, and therefore the size of industry; Low-skilled labour costs and the capacity to create unsophisticated service jobs. The most relevant explanations seem to be: Obviously, the youth employment rate and the retirement age; Skills; The decline in manufacturing employment in France, but not the level of service jobs.