Skills Shortage Ease Slightly in Employment Sector
Germany Experiences Persisting Skills Shortage Despite Slight Easing, Says Employment Agency
BERLIN — The Federal Employment Agency (BA) announced on Wednesday that while the skills shortage in Germany has lessened due to the current economic downturn, it remains at a high level in 163 out of approximately 1,200 evaluated occupations. This is a decrease of 20 occupations compared to the previous year but remains almost comparable to the number in 2018.
BA President Andrea Nahles explained that the decrease in occupations with shortages is not unexpected given the economic slump. Despite a rise in unemployment, there is still a high demand for skilled workers, as companies struggle to fill vacant positions due to the lack of suitable candidates.
Nahles emphasized that the skills shortage continues to pose a significant challenge and requires extensive efforts to counteract it. She suggested measures such as targeted further training, enhancing the balance between work and family life, and controlled immigration as possible solutions.
Notable occupations experiencing shortages in 2024 include those in the care and health sectors, construction, and crafts professions, as well as professional drivers and educators. The Information Technology (IT) sector, with an estimated expansion of 2.7% in 2024, is also expected to demand more IT professionals.
Germany has taken steps to combat the shortage, such as raising the minimum wages in apprenticeships and implementing policies aimed at attracting foreign professionals with the Skilled Immigration Act, effective as of March 2024. Additionally, the government is promoting innovation and digitalization initiatives, which may help attract and retain skilled workers.
In addressing the persistent skills shortage, the German government is looking to strike a balance between retaining its coveted workforce and fostering economic growth and diversification across various sectors.
- Despite the economic slump, companies in Germany continue to struggle to fill vacant positions due to the lack of suitable candidates in fields such as information technology, care and health sectors, construction, and crafts professions, as well as professional drivers and educators.
- As companies grapple with the skills shortage, the German government is implementing measures such as raising minimum wages in apprenticeships, attracting foreign professionals with the Skilled Immigration Act, promoting innovation and digitalization initiatives, and encouraging targeted further training to counteract the shortage and foster economic growth.
