The eurozone labor market showed improvement in January, with the seasonally adjusted unemployment rate falling to 6.1%, its lowest level ever.

Unemployment in the 21-member eurozone dropped to 6.1% in January, according to Eurostat, down from 6.2% in December 2025 and 6.3% a year earlier.

Economists had expected the rate to remain unchanged at 6.2%.

This figure corresponds to 10.77 million people without work across the eurozone.

Excluding Bulgaria, the newest member of the monetary union, the original 20 eurozone members also recorded improvement, although the unemployment rate remained unchanged at 6.2%.

However, the total number of unemployed people is declining, signaling a healthier labor market.

Across the entire European Union, unemployment fell to 5.8%, down from 5.9% in December and 6% in January 2025.

On a monthly basis, the number of unemployed people declined by 185,000 in the EU and by 184,000 in the eurozone, according to Euronews.

Among the eurozone’s largest economies, Germany and the Netherlands recorded the lowest unemployment rates, at 4% each.

Spain (9.8%), France (7.7%), and Italy (5.1%) remained at the higher end of the spectrum.

Youth unemployment also declined slightly, with the rate in the EU falling to 15.1% from 15.2%, while the eurozone rate dropped to 14.8% from 15%.

Recent economic indicators suggest that the EU economy is more resilient than previously expected.

Preliminary estimates from Eurostat show GDP growth of 1.5% in the eurozone and 1.6% across the EU in 2025, supported by strong performance in key sectors.

Source: Brief