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Germans see millions of young people lacking formal education

Expertise needed for reversal process

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Business gatherings, such as trade fairs, continue to serve as significant platforms for...
Business gatherings, such as trade fairs, continue to serve as significant platforms for corporations and youth to networking and exchange ideas.

Germans see millions of young people lacking formal education

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The Growing Pool of Untrained Youth in Germany: A Persistent Issue

In stark contrast to the glaring need for skilled labor in Germany, a rising number of youth are left untrained and without a degree. Last year alone, 1.6 million 20- to 34-year-olds fell into this category. Year after year, the figures keep climbing, marking a concerning trend for the future workforce.

A mosaic of factors contributes to this increasingly dire situation. The Institute for Employment Research (IAB) reveals that if current patterns continue, another 460,000 young people without qualifications will be added within the next twelve years.

While the Federal Institute for Vocational Education and Training (BIBB) paints an even bleaker picture, reporting a total of 2.8 million young adults devoid of any vocational training – that's one in every five individuals in this age bracket. The discrepancy stems from the BIBB's broader statistics, which encompass all young adults, compared to the IAB's focus on the employed population.

Being Left Behind in the Digital Age

Germany faces an acute shortage of trained workers, with an average deficit of over 530,000 skilled professionals nationwide. In the next two years, this number is set to increase by another 200,000, as predicted by the Institute of the German Economy. By 2027, the country could be grappling with a staggering 730,000 shortage of skilled labor.

A troubling outlook, considering that Germany's labor market is facing unprecedented challenges in sectors like healthcare, technology, and IT, where the importance of skilled workers is indispensable. According to IAB professor Enzo Weber, these challenges will only intensify with the advent of digitalization, AI, and the shift towards green technologies.

Moreover, demographic change plays an integral role in this crisis, as a significant portion of the working population will retire over the next 15 years, leading to a gaping hole in the workforce.

Education: The Initial Hurdle

The problem begins at the root: school. Every year, thousands of young people graduate without a diploma, leaving their prospects of an apprenticeship dim. In 2021, around 6% of all students missed out on the Hauptschulabschluss – the minimum requirement for many apprenticeships.

Compounding this issue is the stark reality that three quarters of young people without vocational training also lack a school-leaving certificate, according to the Vocational Training Report. A notable contributing factor is immigration, with around 45% of 20- to 34-year-old refugees from asylum countries like Syria or Afghanistan lacking any vocational training, suggests an IAB study.

However, Enzo Weber, an IAB professor and a critic of the high numbers, argues that immigrants are not inherently less educated but that theyoftencome from vastly different educational systems, struggling to adapt to the uniqueness of German vocational training. He advocates for stronger integration into the labor market, emphasizing the need to recognize, develop, and further qualify these skills.

AcouldBeGoldenOpportunity: "Helpers" versus Apprentices" and the Shortage of Training Places**

Some young individuals opt to go straight into work after school, landing unskilled helper jobs, often with an initial higher pay. However, this trend doesn't stand in the long run, especially with the increasing minimum wage. Instead, more emphasis should be placed on training, with low-threshold opportunities offering flexible, job-related modules that can be completed alongside employment and ultimately lead to a dual study program.

Improving career guidance and career orientation, along with increasing companies' presence in schools and job fairs, is also critical, says Weber. Practical experiences such as company visits, school projects, internships, and online communication via social media platforms like YouTube, WhatsApp, and TikTok are vital to bridging the skills gap.

Communication is Key

The skill gap in Germany remains massive, with over 73,000 training places left unfilled in 2023 – a new record. Many companies struggle to find suitable applicants, with some not receiving a single application. Communication seems to be a significant issue, as shown by a survey by the Bertelsmann Foundation and the Institute of the German Economy (IW). Companies tend to advertise on different channels than young people, who might be found on platforms like YouTube, WhatsApp, and TikTok.

Young people are often unaware of the various training professions and the long-term earning potential they offer. Technical research and development specialists, for example, are among the top earners. By altering their communication strategies and reaching out to potential candidates on popular platforms, companies could help bridge the communication gap and encourage more young people to pursue skilled professions.

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  • Institute of the German Economy Cologne
  • Bertelsmann Foundation
  • Social Networks
  • TikTok
  • WhatsApp
  • YouTube
  • Apprentices
  • Universities
  • Application
  • School
  • Occupation
  • IAB

Enrichment Data:

Reasons for the Shortage of Skilled Workers in Germany:

  1. Aging Population and Low Fertility Rates: Germany's rapidly aging population with a disproportionately low number of young people entering the workforce contributes significantly to the shortage of skilled workers.
  2. Technological Progress: The ever-evolving technological landscape necessitates a constant influx of skilled professionals, a demand the domestic workforce cannot fully meet, creating a shortage in key sectors like IT, engineering, and healthcare.
  3. Economic Imperatives: The need for skilled workers is crucial for Germany's competitiveness in the global market, exacerbating the shortage.

Measures to Address the Shortage Among Young People:

For Foreign Young Professionals:

  1. Simplified Immigration Procedures: The German government has introduced the Skilled Immigration Act to streamline visa processes and make it easier for foreign skilled workers to enter the country.
  2. Opportunity Card System: This system allows individuals to find jobs without an existing job offer, facilitating easier integration into the German job market.
  3. Integration Support Programs: Programs like language classes and assistance with housing and administrative tasks help young foreign professionals settle in Germany.

For Domestic Young People:

  1. Vocational Training and Education: Encouraging more young people to pursue vocational training and education in key shortage areas can help address the shortage over time.
  2. Internships and Apprenticeships: Offering early exposure to industries through internships and apprenticeships can attract young people to these fields.
  3. Promoting STEM Careers: Promotional campaigns highlighting the benefits and opportunities in STEM fields (science, technology, engineering, and mathematics) can encourage more young people to pursue these careers.

Collaboration with Other Countries:

  1. Germany-India Agreement: The "Focus on India" initiative facilitates the relocation of Indian professionals to Germany, leveraging India's vast pool of skilled and educated workers.
  2. International Recruitment: Similar agreements with other countries can help fill the labor gap by attracting young skilled workers from abroad.
  3. Strengthened integration into the labor market is crucial for foreign young professionals that lack vocational training, particularly those from asylum countries like Syria or Afghanistan.
  4. The Institute for Employment Research predicts that another 460,000 young people without qualifications will be added to the pool over the next twelve years, a concerning trend for the future workforce.
  5. A focus on education and self-development, such as vocational training, is essential in bridging the skills gap, particularly for domestic young people who are failing to secure a Hauptschulabschluss and finding themselves left behind in the digital age.
  6. Enhanced communication and increased awareness of training professions, including the long-term earning potential they offer, can encourage more young people to pursue skilled careers, with platforms like YouTube, WhatsApp, and TikTok playing a crucial role.
  7. Companies are urged to alter their communication strategies and reach out to potential candidates on popular platforms, aiding in the reversal of the staggering 730,000 shortage of skilled labor projected by the Institute of the German Economy by 2027.

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