Job creation in the technology sector is a driver of the Eurozone's labour market

The Eurozone labour market remains dynamic. The unemployment rate, at 6.3% in September, remains close to historic lows, while net job creation, although slowing in 2025, continued in Q3 (+0.1% q/q). According to Eurostat, the Eurozone has created almost seven million additional jobs since the end of 2019.

Evolution in employment in the Eurozone from Q4 2019 (pre-COVID) to Q2 2025, in millions

And almost a quarter of these jobs have emerged in the technology and digital sectors (see note below the chart). Admittedly, industrial employment is declining at the same time, particularly in the automotive and intermediate goods sectors, but to a much lesser extent.The positive trend in employment in the technology sector is in line with the ongoing rise in investment in intellectual property products. Although these investments have not yet attained the levels seen in the United States, they are nevertheless trending upwards, reaching nearly 5% of GDP in Q2 2025 , compared with 6.5% across the Atlantic.

Germany is perhaps the best example of this trend. Since Q4 2019, total employment has decreased by 220,000 (-0.5%), primarily due to declines in the manufacturing sector (-319,000) and construction (-210,000), while technology jobs have seen an increase of 580,000. Therefore, in spite of and in response to its structural challenges, the German economy is undergoing a transformation. This transformation is underscored by the new structure of the DAX, which is now largely influenced by the valuation of two technology companies, which, although long established, have redefined their roles within the AI ecosystem.

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