German Women's Workforce Participation Soars Since 1991
Economy / Finance

German Women’s Workforce Participation Soars Since 1991

Germany has witnessed a significant increase in female employment since the nation’s reunification in 1991, with a 30% rise in the number of women in the workforce nationwide. Data released this week by the Federal Statistical Office (Destatis) indicates that while 57% of women were employed in 1991, the female employment rate reached approximately 74% in 2024.

Prior to reunification, employment rates for women were higher in the eastern German states and Berlin (66%) compared to western Germany (54%). By 2024, these disparities had largely diminished, with both eastern and western regions reporting employment rates of 74%.

Among individual states, Bavaria and Saxony recorded the highest rates of employed women in 2024, at 77% each, closely followed by Baden-Württemberg at 76%. Bremen, Saarland and Berlin showed the lowest rates, at 67%, 70% and 71% respectively-regions where overall employment rates are also comparatively lower.

The gender pay gap, measured as the hourly earnings difference between men and women, was lower in eastern Germany than in the west. The unadjusted gender pay gap across Germany in 2024 was 16%, rising to 17% in western states and Berlin and falling to 5% in the eastern states. This marked a notable shift from 2006, when the gap stood at 24% in western regions, 6% in the east and 23% nationally.

Significant wage disparities existed between eastern and western Germany in 1991 and while differences persist in 2024, they have narrowed. In 1991, average gross monthly earnings for full-time employees in eastern states were €924, compared to €1,987 in the western states (including West Berlin)-more than double.

Full-time employees in western regions (including Berlin) have more than doubled their earnings since 1991, reaching an average of €4,810 in 2024. In eastern states, average gross monthly earnings more than quadrupled over the same period, reaching €3,973. Even with this substantial growth, earnings in the west remain approximately 21% higher than in the east. These figures represent average gross monthly earnings in the manufacturing and service sectors, excluding bonuses.

Germany’s economy has expanded significantly since 1991, particularly in the eastern states, where considerable economic convergence has been observed. Thuringia registered the largest increase in GDP per capita (adjusted for price changes), increasing by 163% between 1991 and 2024, while Schleswig-Holstein experienced the smallest increase at 17%. Overall, Germany has increased its GDP per head by 40% since 1991.

In 2024, Germany’s GDP per capita stood at €50,819. Hamburg had the highest GDP per capita (€84,486), followed by Bremen (€59,785) and Bavaria (€58,817). Saxony-Anhalt, Thuringia and Mecklenburg-Vorpommern had the lowest values at €36,517, €36,942 and €37,656, respectively.