Past and Present of the National Economy of Germany

                The social market economy of Germany was created in 1939. In 1958, the legislation was appeared against monopolies. Before, the WWII the German Federal Bank was the main regulator of national economy. Following the great inflation of 1922-23 the government decided adopt euro. In 1963, a board of experts called five wise men was established to produced and evaluate economic development per annum. Germany operates free market but the government play considerable influence.

Current Situation of Germany

            At present the national economy of Germany is ranked as the largest European Economy whereas it is ranked on number fourth in the world economic ranking as per nominal GDP. The economic freedom score of the country is 73.5. Following this, it is the 24^th freest economy as per the index of 2019. However, the score of Germany has decreased. Besides this, it still has above the average score in the region as well as in the world (heritage).

Social of Germany

History of Germany

        Germany was not a specific place it was consist of losing connected German speaking people until 1871, when Otto Von formed German Empire by connected all these German speaking principalities, kingdoms, duchies and free cities. However, after WWII and Hitler’s defeat the US allied armies divided Germany into East and West Germany.

Current Situation of Germany

        In 1989, the Berlin Wall fall that divides the city into two parts. Now most of the people believe that both the East and West Germany has become on nation after unification. However, some people in East Europe still has some reservations upon unified progress (Paul).

Labour Market of Germany

History of Germany

        The development of German labour market is commonly based on German reunification and Hartz reforms. These reforms occurred in 1990s and 2000s respectively. Following these reforms Germany has reduced the rate of unemployment that reached from 4% in 1970s to 9% in 2000-2005 (Ruoff).

Current Situation of Germany

        The labour Market of Germany tends to feature high rate level of employment whereas it has lowest rate of unemployment in Europe. As of 2017, the unemployment rate of Germany was recorded as 5.7% which is the lowest since 1990. Furthermore, dual vocational training has enabled the country to achieve low youth unemployment rates. Furthermore, Federal Government has ensured transparency of labour market through appropriate rules and regulations (Tatsachen).

Human Resource System of Germany

History of Germany

        The HRM is deep rooted in the legally shaped and historically grown institutional environment of Germany. However, the HR system of Germany is quite different and unique. The German HR system is more concern about the societal demands rather than following the universal approach to HRM (Michael Müller-Camen).

Current Situation of Germany

        The current HR system of Germany is based on customized HR practise. Following the labour market institutions such as co-determination, collective bargaining and vocational trainings in Germany is required the pluralist HR style. Therefore, a customized HR system supports the implementation and few Universal HR principles while avoiding others is successful in Germany.

References of Past and Present of the National Economy of Germany

heritage. 2019 Index of Economic Freedom- Germany. 2019. 2019. <https://www.heritage.org/index/country/germany>.

Michael Müller-Camen, et al. "HRM in the German business system: A review." Management Revue 16.1 (2005): 63-8.

Paul, Welfens. Economic aspects of German unification: national and international perspectives. Springer Science & Business Media, 2013.

Ruoff, Bea. Labour market developments in Germany: tales of decency and stability. Global Labour University , 2016.

Tatsachen. Attractive Labour Market. 2018. 2019. <https://www.tatsachen-ueber-deutschland.de/en/chapter/business-innovation/attractive-labour-market>.