Numerous young individuals in Germany are forgoing formal education.
A Wake-Up Call for Skills: Curbing Germany's Shortage of Trained Workers
Why are Millions of Young People Missing Out on Vocational Training in Germany?
By Caroline Amme (with inputs from enrichment data)
The situation is alarming - the number of young, untrained individuals in Germany is soaring, and it's not good news for a country grappling with a critical shortage of skilled workers. In 2021, an appalling 1.6 million young individuals between 20 to 34 years found themselves in precisely this situation, with no apprenticeship or university education. If no action is taken, this number is expected to rise, posing a severe challenge to Germany's labor market. But as our findings suggest, the root of the issue isn't as complex as it appears, and there are ways to tackle it effectively.
Unveiling the Figures
The Institute for Employment Research (IAB) and the Federal Institute for Vocational Education and Training (BIBB) paint a staggering picture. If we consider all 20 to 34-year-olds, the BIBB statistics show that around 2.8 million young adults have no vocational training. Compared to the IAB, which only accounts for employed individuals, the difference amounts to approximately 1.2 million young workers without requisite skills.
The Shortage of Skilled Workers: A Cause for Concern
Germany is facing an acute shortage of skilled workers, with forecasts suggesting a nationwide deficit of over 530,000 qualified workers on average. By 2027, this gap is projected to swell to around 730,000[1]. The implications are far-reaching, with industries such as healthcare, social work, technology, and IT essential to a growing, digital-first economy in dire need of skilled workers. Demographic change further exacerbates the situation, as over the next 15 years, seven million employed persons will reach retirement age.
The Roots of the Issue
According to Enzo Weber, an IAB professor, school is where the problem begins. Each year, thousands of students fail to graduate, with nearly six percent in 2021 being among those who did not even receive the Hauptschulabschluss. The lack of a school-leaving certificate significantly diminishes the chances of getting an apprenticeship[1].
Another significant factor is immigration, particularly from asylum countries like Syria and Afghanistan, where around 45 percent of 20 to 34-year-old refugees lack vocational training. Likewise, the proportion of young people from other EU countries without training has increased, while among young Germans, this trend is less evident[1].
Bridging the Skills Gap: A Roadmap
To address this looming skills crisis and invigorate Germany's vocational training programs, there are several strategies to consider:
Addressing the Shortage of Skilled Workers
- Improve Immigration Policies: Simplifying visa procedures remains essential. With the Skilled Immigration Act, it's now easier for foreign skilled workers to enter the country. Continuing to refine these policies can help attract more international talent[2].
- Promote Vocational Training: To make vocational training more appealing, expand the number of industries, offer flexible schedules, and incorporate digital skills to keep pace with technological advancements.
Improving Vocational Training Programs
- Increase Early Engagement: Reach students early in their educational journey to introduce them to vocational options and encourage them to consider these paths[2].
- Modernize Curriculum: Incorporate emerging technologies like AI, cybersecurity, and renewable energy to appeal to young people and make training programs relevant to future job markets.
- Incentives and Support: Offer financial incentives, scholarships, or apprenticeship stipends to attract more participants. Additionally, provide comprehensive support systems, including mentorship programs and career guidance services.
- Collaboration with Industry: Align training programs with current and future employment needs by partnering with industry leaders.
Implementation and Integration
- Integration Support: Offer language classes, cultural integration programs, and other support systems to help foreign workers adapt to the German job market efficiently[2].
- Opportunity Cards: Implement the opportunity card system fully, allowing skilled workers to access jobs without a pre-existing offer[2].
- Policy Flexibility: Continuously review and adjust immigration policies to accommodate changing economic conditions and labor market needs.
By taking these measures, Germany can effectively address the shortage of skilled workers and make vocational training more appealing to its young people. A well-skilled workforce is the bedrock of any thriving economy, and it is up to us to ensure the next generation is well-equipped to build a better future for all.
[1] Institute of the German Economy - Cologne[2] Bertelsmann Foundation[3] Social Networks - TikTok, WhatsApp, YouTube[4] Apprentices[5] Universities[6] Application[7] School[8] Occupation[9] IAB
Sources: ntv.de, Bertelsmann Foundation, and Institute of the German Economy (IW)
- The underlying issue of millions of young individuals in Germany missing out on vocational training can be traced back to schools, where the number of students failing to graduate is significant.
- The lack of school-leaving certificates significantly diminishes the chances of securing an apprenticeship, making it more difficult for these young people to participate in vocational training.
- One factor contributing to this problem is immigration, particularly from asylum countries like Syria and Afghanistan, where many 20 to 34-year-old refugees lack vocational training.
- To tackle this looming skills crisis, improving immigration policies and simplifying visa procedures can help attract more international talent.
- Promoting vocational training by offering flexible schedules, incorporating digital skills, and making training programs relevant to future job markets can also increase its appeal.
- Providing financial incentives, scholarships, or apprenticeship stipends, as well as extensive support systems such as mentorship programs and career guidance services, can entice more participants to take up vocational training.
