Unemployment in Germany has risen to its highest level for 60 years.

The figures announced on Friday prompted Chancellor Helmut Kohl to concede that German unemployment would not be halved by the year 2000 - a goal he pledged to achieve two years ago.

Chancellor Kohl has been forced to abandon his pledge

Mr Kohl, speaking to journalists before an election strategy meeting of his Christian Democrat Union (CDU) party, said: "It now appears this absolute goal will certainly not be achieved."

The Federal Labour Office in Nuremberg said unemployment in December reached a post-war record of 4.5 million, or 11.8%.

This is an increase of 200,000 from November when not adjusted for seasonal factors. Most of the rise has been in east Germany.

Mr Kohl, who will be seeking a record fifth term at a general election in September, has been criticised for clinging to his unemployment pledge made in 1996 during a short-lived alliance between the government, employers and trade unions.

The Alliance For Jobs disintegrated within a year as trade unions were alienated by a series of welfare reform plans put in place by Bonn.

Only Mr Kohl continued to repeat the alliance's jobless target.

Most economists expect the jobless rate, already at the highest levels since the early 1930s when Hitler came to power, to rise further in 1998.

Back to top | BBC News Home | BBC Homepage	©