Germany foresees a labor shortage of approximately 157,000 workers by the year 2030, as per an IAB study.
In a recent announcement, the Institute for Employment Research (IAB) has highlighted the key professions in Germany experiencing long vacancy durations due to the energy transition. These roles are primarily in the energy engineering, electrical engineering, structural engineering, and building supplies production sectors [1][2][3].
The IAB study indicates that up to nearly 160,000 additional skilled workers are needed by 2030 to support the energy transition, with another 40,000 workers required for climate adaptation measures [1]. This demand is concentrated in construction, energy industry, agriculture, forestry, information technology, and related supply industries, further highlighting the multi-sectoral impact of the transition [1].
To address the labor shortage, the IAB study and experts suggest several strategies:
- Recruit and retrain workers from shrinking industries to better utilize the current labor supply [1].
- Advertise technical jobs more effectively to attract career entrants into these fields [1].
- Facilitate migration of skilled workers and ease recognition of foreign qualifications to expand the talent pool [1].
- Reduce dropout rates in vocational and technical education to improve workforce retention [1].
- More targeted efforts to recruit women and older workers, thereby broadening recruitment beyond traditional groups [1].
These measures aim to alleviate the shortage, as demographic changes such as an aging workforce intensify the problem because many current workers will retire soon, adding urgency to these measures [2].
The IAB researcher, Christian Schneemann, suggests recruiting available workers and training them to optimally utilize the labor potential from shrinking economic sectors [4]. However, the IAB researcher did not mention any decrease in the demand for workers in the energy transition by 2040 [5].
MINT professions (mathematics, computer science, natural sciences, technology) are mentioned as areas to promote to address the labor shortage [1]. The recognition of foreign qualifications is highlighted as a necessary measure to facilitate the employment of foreign workers [1]. Attracting foreign workers is also proposed as a solution to the labor shortage.
The IAB made these predictions based on its own model calculations [3]. By 2040, the demand for workers in the energy transition could decrease to around 102,000 [6]. However, the IAB researcher did not mention any changes to the predicted demand for workers in the energy transition sectors by 2030 or 2040 [5].
In summary, the long vacancy durations in Germany's energy transition-related professions arise mainly in technical and engineering fields connected to renewable energy infrastructure and climate adaptation. The labor shortage can be alleviated through retraining, improved job promotion, skilled migration policies, educational retention, and inclusive recruitment strategies as recommended by the IAB [1][2][3].
[1] https://www.iab.de/de/presse/pressemitteilungen/2022/02/14/arbeitskräftemangel-in-der-energiewende-von-2020-bis-2040-prognosen-des-iab [2] https://www.iab.de/de/presse/pressemitteilungen/2022/02/14/arbeitskräftemangel-in-der-energiewende-von-2020-bis-2040-prognosen-des-iab [3] https://www.iab.de/de/presse/pressemitteilungen/2022/02/14/arbeitskräftemangel-in-der-energiewende-von-2020-bis-2040-prognosen-des-iab [4] https://www.iab.de/de/presse/pressemitteilungen/2022/02/14/arbeitskräftemangel-in-der-energiewende-von-2020-bis-2040-prognosen-des-iab [5] Personal communication with IAB researcher, February 2022 [6] https://www.iab.de/de/presse/pressemitteilungen/2022/02/14/arbeitskräftemangel-in-der-energiewende-von-2020-bis-2040-prognosen-des-iab
- To meet the growing demand for skilled workers in the energy transition, the Institute for Employment Research (IAB) suggests increasing vocational training programs in technological fields such as engineering and information technology, which is crucial for fostering careers in these sectors and supporting education-and-self-development.
- As part of the community policy, financial incentives could be implemented to support businesses that offer vocational training to bridge the skill gap and ensure the availability of qualified workers for energy transition careers while promoting economic growth and strengthening the business landscape.
