Employment (AQA GCSE History): Revision Notes
Employment under the Nazis
Germany's economic challenge in 1933
When the Nazis came to power in 1933, Germany was still struggling with the devastating effects of the Great Depression. Unemployment was extremely high, and economic recovery became one of the regime's most urgent priorities. The Nazis understood that improving employment would help them gain popular support and legitimacy.
The economic crisis Germany faced in 1933 was so severe that any government would have needed to prioritise job creation. This gave the Nazis an opportunity to implement dramatic policies that might not have been accepted under normal circumstances.
Economic policies (1933-1936)
Although Germany's economy had already begun to recover slightly before Hitler gained power, the Nazi government implemented several key economic strategies to boost employment and production.
The government pursued four main approaches to tackle unemployment:
Massive public investment: The Nazi state poured enormous amounts of money into public works projects. This created jobs directly and stimulated demand throughout the economy.
Business support measures: The regime offered loans, subsidies and tax breaks to private companies. This encouraged businesses to expand production and hire more workers, helping to stimulate economic growth.
Price and wage controls: To prevent inflation from spiralling out of control, the government imposed strict controls on both wages and prices. This helped maintain economic stability during the recovery period.
Trade policy changes: The Nazis controlled imports more tightly and negotiated new trade agreements. These policies supported the New Plan of 1934, which aimed to make Germany more economically self-sufficient while increasing production.
These economic strategies were not unique to Nazi ideology - many democratic governments during the 1930s adopted similar approaches to combat the Depression. However, the Nazis implemented them with characteristic intensity and authoritarianism.
The National Labour Service (RAD)
The National Labour Service represented a key part of Nazi employment policy, though it actually originated during the Weimar Republic and was simply continued and expanded under Hitler's regime.
From July 1935, all German men aged 18-25 were required by law to serve for six months in the RAD. This was not optional - it became a compulsory form of national service that affected hundreds of thousands of young men.
The RAD was compulsory labor, not genuine employment. Participants received very low pay, worked extremely long hours, and found the work physically demanding and often boring. Many workers came to resent the RAD experience, viewing it as forced labour rather than meaningful employment.
RAD workers were assigned to public works projects or agricultural work on farms. However, the conditions were deliberately harsh, and this policy effectively removed large numbers of young men from unemployment statistics.
Key figure: Hjalmar Schacht
Hjalmar Schacht played a crucial role in Nazi economic policy during the early years of the regime. As President of the Reichsbank from 1923-39, Schacht was widely recognised as a financial genius who had helped Germany recover from the hyperinflation crisis of the early 1920s.
Hitler appointed Schacht as Minister for the Economy in 1934, putting him in charge of the regime's employment and recovery policies. However, Schacht lost his position in 1937 following a disagreement with Hitler about rearmament spending, showing the limits of even expert advisors' influence under the Nazi system.
Schacht's fall from grace in 1937 demonstrates how the Nazi regime prioritised political and military goals over economic expertise. His disagreement with Hitler over excessive military spending proved prophetic, as rearmament would eventually strain Germany's economy.
How employment figures were manipulated
While Nazi economic policies did help reduce unemployment, the regime systematically distorted employment statistics to make their achievements appear more dramatic than they actually were.
The Nazi regime's employment "success" was significantly exaggerated through statistical manipulation. Understanding this manipulation is crucial for evaluating the true effectiveness of their economic policies.
Several groups were deliberately removed from unemployment figures:
Jewish workers were increasingly forced out of their jobs through discriminatory laws and social pressure, but were not counted as unemployed in official statistics.
Women workers were often dismissed from their positions or pressured to leave their jobs, particularly if they were married. The Nazi ideology emphasised women's role as mothers and homemakers rather than workers.
Young unmarried men under 25 were required to complete six months of National Labour Service, effectively removing them from unemployment statistics even though they were not in regular employment.
Military conscripts were excluded from employment figures after 1935 when more men over 18 were conscripted into the armed forces, as military service was required by law rather than voluntary employment.
Political opponents of the regime were sent to concentration camps where they performed forced labour, completely removing them from all employment statistics.
This manipulation meant that while unemployment did fall, the true picture was more complex than the propaganda suggested.
Public works programmes
The Nazi government launched several massive infrastructure projects designed to provide employment while also serving the regime's long-term political and military goals.
Major construction projects included building 7,000 kilometres of autobahns (motorways), which provided employment for thousands of workers while creating a modern transport network. The government also invested in constructing new schools and hospitals to improve public services.
Sports facilities received significant investment, including stadia built for the 1936 Berlin Olympics, which helped showcase Nazi Germany to the world while providing construction jobs.
The public works programmes served a dual purpose: they genuinely reduced unemployment while simultaneously preparing Germany's infrastructure for future military campaigns. The autobahns, for example, would later prove crucial for rapid military movement during World War II.
Housing projects created employment in the building sector while addressing accommodation shortages in German cities. The regime also invested in improving and expanding public buildings, such as the Chancellery in Berlin, which demonstrated Nazi power while employing architects, builders, and craftsmen.
Infrastructure development included planting trees, draining marshes to create more farmland, and laying new railway lines or extending existing ones - all projects that required large numbers of workers.
Timeline of key employment developments
- 1933: Nazis come to power, inherit high unemployment from Depression
- 1934: New Plan implemented; Hjalmar Schacht becomes Minister for Economy
- July 1935: National Labour Service becomes compulsory for all men aged 18-25
- After 1935: Military conscription expands, removing more men from unemployment figures
- 1936: Berlin Olympics showcase German recovery; major infrastructure projects underway
- 1937: Schacht loses position as Minister for Economy due to disagreement over rearmament
Key Points to Remember:
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Nazi employment policies combined genuine job creation with statistical manipulation - while public works programmes did provide real employment, the regime systematically excluded various groups from unemployment figures to exaggerate their success.
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The National Labour Service (RAD) was compulsory, not voluntary employment - from 1935, all men aged 18-25 had to serve six months in harsh conditions with low pay, effectively removing them from unemployment statistics.
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Hjalmar Schacht was the key economic figure until 1937 - this financial genius designed many of the policies that reduced unemployment, but lost influence when he disagreed with Hitler about rearmament spending.
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Public works programmes served multiple purposes - projects like autobahn construction not only provided jobs but also prepared Germany's infrastructure for future military campaigns.
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Employment recovery came at the cost of workers' rights and freedoms - while unemployment fell, workers faced wage controls, compulsory service, and the exclusion of many groups from the job market entirely.