German employers are continuing to lay off workers

Including data from 69 regions which had previously opted out of benefit collection rules, the jobless total rose 39,000 to 4,835,000.

Excluding these regions, however, the seasonally adjusted figure fell 22,000.

Unemployment levels hit a post-war high of more than five million earlier this year, but have since come down.

'Reversing the trend'

On an unadjusted basis, the number of people out of work in September fell by 79,000 to 4,650,000, representing 11.2% of the workforce.

But the Federal Labour Agency said that without the inclusion of 60,000 benefit claimants represented in the figures for the first time, the jobless total would have fallen nearly 140,000.

Germany's stubbornly high unemployment was a major issue in this month's general election, which failed to produce a conclusive result.

Several of Germany's largest employers are continuing to lay off staff.

DaimlerChrysler announced on Wednesday that 8,500 jobs would be lost at its Mercedes division.

Job vacancies, on a seasonally adjusted basis, rose 25,000 to 468,000 in September, the eleventh successive month they have risen.

Ministers said the latest data, when discounting the statistical changes, showed a gradual improvement in the labour market.

"I have said for some time that we will manage a trend reversal but we have for a long time not been good enough," economy minister Wolfgang Clement said.