Few German businesses recruiting staff abroad, despite skills shortage

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Staff bottlenecks in the German economy are on the rise. Staff with vocational training in particular are desperately sought. Nevertheless, fewer than 20 percent of companies are employing skilled personnel from abroad. The obstacles to immigration from non-EU countries are still too high.

Gütersloh, December 8, 2022. The German economy’s skills shortage is growing by the day. At 73 percent, almost three quarters of company decision-takers report skills bottlenecks in their companies. This was the outcome of a representative Civey survey for the Bertelsmann Stiftung’s new Skills Migration Monitor. Demand for staff with vocational training in particular is continuing to rise, with 58 percent of the companies surveyed reporting a need, while by contrast, only 30 percent are looking for graduate staff. The skills shortage is evident, especially in the sectors of health and elderly care, construction and craft, industry and logistics, as well as tourism. Moreover, larger companies are more frequently affected by bottlenecks than small businesses. “Low birth rates in the past are now catching up with us. Germany cannot maintain its prosperity without immigration,” says Susanne Schultz, migration policy expert at Bertelsmann Stiftung.

Despite the gaping staff shortage, just 17 percent, or not even a fifth, of businesses report seeking new staff abroad. Even though, at the same time, fewer than a fifth of them believe that sufficient staff are available in Germany. The obstacles to recruiting skilled staff abroad are evidently too high, as in the past. Companies point in particular to language barriers, legal obstacles, and bureaucratic hurdles, as well as difficulties in assessing foreign qualifications, as the main problems.

Reluctance on the part of businesses is reflected in the immigration figures. While more skilled people entered Germany from non-EU countries in 2021 than immediately after the start of the pandemic, at almost 25,000, their number nevertheless remained well below the pre-Covid level of 40,000. Immigration from other EU countries simultaneously declined in 2021. This means that countries outside Europe are even more significant for the German labour market. The fact that the demand for skilled personnel is continuing to rise without interruption – despite economic stresses caused by the war in Ukraine, the energy crisis, and inflation – can be attributed primarily to demographic change.

The Bertelsmann Stiftung is recommending further changes to the Skilled Immigration Act. “The German government’s current proposals on considering professional experience as a criterion, on introducing an ‘Opportunity Card’ and on digitizing visa procedures are steps in the right direction,” Susanne Schultz says. Germany must, in addition, become more attractive as a country of immigration. A welcoming attitude, measures to counter discrimination, and improved long-term prospects would contribute to this. The potential of skilled female personnel from abroad in particular has scarcely been tapped.

Contact:
Susanne Schultz, Phone: +49 52 41 / 81 81 209
Email: susanne.schultz@bertelsmann-stiftung.de

About the Bertelsmann Stiftung: Moving people. Shaping the future.
The Bertelsmann Stiftung is committed to ensuring that everyone can participate in society – whether politically, economically, or culturally. Our main themes: education, democracy, Europe, health, values, and the economy. In this, we place people at the center, as it is people who are able to move, change, and improve the world. To this end, we make use of knowledge, train competencies, and devise solutions. The Bertelsmann Stiftung was set up by Reinhard Mohn as a non-profit organization in 1977.

For further information: www.bertelsmann-stiftung.de

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