Leiden, Netherlands, 8 October 2024 – The first SkiLMeeT Roundtable, “Skills and Labour Shortages in Europe: Recent Research Evidence”, brought together 18 participants from academia, think tanks, and industry to discuss the key challenges surrounding labour and skills shortages in Europe.
Organised and moderated by Vassil Kirov, a SkiLMeeT researcher and Professor at the Institute of Philosophy and Sociology, Bulgarian Academy of Sciences, the event took place on 2 October 2024 at the European Trade Union Institute in Brussels.
The meeting began with a presentation from Annachiara Tanzarella and Simone Rosini of the European Commission’s DG Employment, Social Affairs, and Inclusion. They highlighted the growing labour and skills shortages across Europe over the past decade, driven by demographic changes, the green and digital transition, and poor working conditions in certain sectors. Population decline and ageing are expected to worsen shortages, particularly in healthcare and long-term care. Annachiara outlined recent EU initiatives aimed at tackling these issues, including: activation measures, such as the European Care Strategy and the Reinforcement Guarantee, to boost the participation of women and young people in the labour market; skill development initiatives focused on improving wages and working conditions; promoting labour mobility within the EU and complementary legal migration policies, such as the Skills and Talent Mobility Package and the EU Talent Pool.
Next, Piotr Lewandowski (IBS) discussed how emerging technologies, particularly AI, could help mitigate Europe’s labour shortages. He identified three core challenges: a declining workforce, a shortage of young and innovative workers, and the need for greater digital skills to fully benefit from AI across various sectors. He argued that while AI could reduce labour intensity in sectors facing shortages, Europe lags behind the US in AI adoption, highlighting the need for increased investment in digital skills.
In her talk, Christina Gathmann (LISER) focused on untapped pools of workers and the importance of embracing technological change, particularly AI, to improve working conditions and reduce repetitive tasks in certain jobs. Christina showed that immigrant workers are less likely to participate in training and benefit from active labour market programmes, while immigrant women tend to stay out of the labour market. Christina also stressed that to address labour market issues, we need better data on skill needs, which requires looking beyond job vacancies and instead focusing on skills mismatches. She highlighted the importance of analysing the gap between workers’ existing skills and market needs at the sectoral, occupational, and regional level.
The presentations were followed by a discussion. Employer representatives flagged major challenges across their sectors, including difficulties in retaining workers and forecasting future skill demands. They stressed the need to overhaul training programmes to better align with industry needs and emphasised the difficulties in motivating employees to engage in training. Recognition of qualifications, alongside improving the mobility and transferability of skills, were also seen as critical issues that must be addressed to meet the needs of a rapidly changing labour market.
Léna Guyon, representing the European Construction Industry Federation (FIEC), highlighted that while migration can help address shortages of low-skilled labour, it’s only a short-term solution. The real challenge for the construction sector is retaining workers over the long term. She emphasised the need for active labour market policies to ensure that trained workers remain in the construction sector rather than moving to other industries or countries.
Delphine Rudelli, Director General of Ceemet, a European employers organisation representing the interests of the metal, engineering and technology-based industries, stressed that addressing labour shortages requires a multifaceted approach. Migration is a part of the solution, but she also advocated for active labour market policies that can keep workers in their jobs (increasing the retirement age) and activate those who remain outside the market (women). She also highlighted the challenge of rapidly evolving skills needs, particularly in the context of the green transition. Delphine stressed the need for better data and long-term planning, along with motivating workers and SMEs to invest in training, which is often hindered by practical and motivational barriers.
Eleonora Isop, policy executive of the European Chemical Employers Group (ECEG), highlighted the difficulties in forecasting skills needs, particularly in the context of the green and digital transition. The sector is working on initiatives to map training needs and develop programmes that align with emerging demands.
The discussions at the SkiLMeeT roundtable highlighted the urgency of collaborative efforts among academia, industry, and policymakers to tackle the multifaceted challenges of skills and labour shortages in Europe. As participants shared their insights and experiences, it became evident that while immediate solutions like migration may offer temporary relief, to foster a sustainable workforce we need a comprehensive approach involving active labour market policies, investment in training, and better data analysis.
