German unemployment fell to its lowest rate in December since 1991, according to the German Federal Labour Agency.
The adjusted jobless rate fell to 6.8% from 6.9% in November, the Federal Labour Office said.
This marked a new record low since figures for unified Germany were first published.
The seasonally-adjusted total for the number of people out of work in Germany fell 22,000 to 2.88 million in December.
The agency said the number of people out of work averaged 2.976 million over the course of last year.
This was equal to an average jobless rate of 7.1 % - down from 7.7% in 2010.