Germany is witnessing widespread debate regarding the increasing flows of migration. Some argue that the rising number of migrants, particularly those fleeing the war in Ukraine or seeking political asylum from various countries, can only strain the state’s resources. Meanwhile, others see migration as a golden opportunity to ensure continued economic prosperity and growth, provided that skilled and qualified migrants are utilized to fill the current gap between supply and demand for skilled labor.
Supporting the latter group’s argument are the economic, political, and environmental changes affecting the structure of the German labor market. Factors such as the aftermath of the COVID-19 pandemic, the Russia-Ukraine war, the energy crisis, digital transformation, the use of artificial intelligence, and other dynamics are driving rapid qualitative shifts in the types of labor needed to keep pace with technological advancements and fulfill the economic goals.
Among the most affected sectors facing severe skill shortages are construction, building technology, healthcare, social services, medicine, services, agriculture, pharmacy, and retail. These are vital sectors whose urgent needs cannot be ignored, and failing to address the issue could lead to catastrophic long-term consequences.
In this context, a report by Paola Abati, published by the Bertelsmann Foundation in December 2023, examines the phenomenon of skilled labor migration to Germany and the frameworks explaining it. The report highlighted key strategies implemented by the German government to encourage targeted or selective migration, and it also proposed practical solutions to attract more skilled professionals.
Migration to Germany:
At the beginning of 2022, Germany saw an unprecedented rise in the number of migrants, with total migration increasing by 142% compared to 2021. Germany welcomed approximately 2,414,566 migrants in 2022. Overall, Europe continues to account for the lion’s share of these migrants, as around 1,735,866 European citizens arrived in Germany in 2022, compared to just 480,178 the previous year. This sharp increase is mainly due to the influx of Ukrainians seeking refuge following the Russia-Ukraine war and its subsequent political and economic fallout.
Additional factors have also contributed to the increased migration flows. The report noted that in 2022, 90,464 migrants arrived for family reunification, while 60,397 came for educational and training purposes. Furthermore, migration for humanitarian reasons, such as political asylum requests from countries like Turkey, Syria, and Afghanistan, also contributed to the rise.
While some view the increase in migrants as an opportunity to address labor shortages in Germany, a closer look at the numbers reveals disparities in skilled labor migration. Only 20% of European migrants were skilled workers, amounting to 481,610 individuals.
Regarding migration from third-world countries, the report noted a 75% increase compared to 2021, with 71,046 migrants arriving in 2022 compared to 40,400 in 2021. Non-EU European countries account for roughly 40% of this increase, with the Western Balkans leading the way. Similarly, Asia contributes the same proportion of skilled labor, with India, Turkey, and Russia topping the list. Africa also plays a role, supplying about 6% of skilled workers. Despite the significant rise in skilled migration from developing countries to Germany, the percentage remains small when compared to overall migration figures (less than 3%).
Selective Immigration Policy:
The report clarifies that Germany’s efforts to benefit from immigration are not new. The government has made significant efforts to address the labor shortage by leveraging the increasing number of immigrants. This is achieved by implementing various regulations aimed primarily at attracting skilled labor. The main laws and efforts facilitating selective immigration are:
European Blue Card: This card simplifies the residence of skilled workers in European countries according to specific criteria, including having a German university degree or an equivalent recognized qualification, and securing a job with an annual salary of at least €58,400. Fields with a significant shortage of skilled labor, such as healthcare, are exempt from the salary requirement. The card allows the holder to stay in Germany for four years, renewable. The report indicates that the Blue Card has been the most effective and sustainable method in Germany since its implementation in 2013, supporting the migration of 21,985 skilled workers in 2022, which represents 56% of skilled migrants that year.
Western Balkans Regulation: This regulation allows citizens from Albania, Bosnia and Herzegovina, Kosovo, North Macedonia, Montenegro, and Serbia to access the German labor market under certain conditions. The main requirements include having a job offer in Germany and meeting all legal visa requirements. The regulation first came into effect in 2016, and although it was initially set to end in 2020, the increasing need for skilled labor led to an extension until the end of 2023. It is expected to be extended indefinitely. Notably, non-EU countries contribute 40% of skilled migrants, with Balkan countries making up the majority of this percentage.
Skilled Workers Immigration Act: In November 2023, the German government introduced a law aimed primarily at facilitating the procedures for skilled workers’ immigration. The law will be implemented in three phases: November 2023, March 2024, and June 2024. It introduces the “Opportunity Card,” which allows skilled workers to stay in Germany for one year and enables family reunification if the worker has the financial means to support their family. The Opportunity Card is based on a points system considering factors like qualifications, age, professional experience, and German language skills.
Companies and Immigrants:
The report established several facts about how companies view immigrant labor and proposed practical solutions to benefit from this phenomenon:
- In a 2023 survey by the Bertelsmann Foundation, 70% of German companies reported a shortage of skilled labor, with a similar percentage expecting this shortage to continue in the coming year.
- Companies are cautious about hiring non-citizens, with only 16.8% of companies focusing on recruiting skilled migrants. Most companies prefer to attract local skilled workers by increasing salaries, offering work-life balance systems, and investing in effective training.
- Major factors contributing to German companies’ caution include language barriers, difficulties in evaluating and recognizing foreign qualifications, unrealistic job applicant expectations, and legal and bureaucratic complexities.
- The representation of migrant women is declining. Female migrants from non-EU countries hold 30% of jobs, and among skilled labor, migrant women make up 34% of foreign labor. The representation varies by field, with higher proportions of women working in nursing and elder care.
Parallel Paths:
The report concluded that pursuing parallel paths is crucial to attracting skilled migrant labor by making effective changes to the legal framework for immigration. This includes expediting and digitizing administrative procedures and ensuring adequate budgets for immigration offices. Additionally, improving the assessment of migrants’ skills, expanding German language education, and developing effective language learning methods are essential.
The report emphasized the importance of promoting German language learning in migrant-exporting countries as a proactive strategy. It also suggested providing job-specific language training and considering English as a working or communication language, though achieving societal acceptance of other languages remains challenging due to the strong emphasis on the German language in daily life.
Moreover, enhancing employment opportunities for migrant women, particularly those joining their partners in Germany, requires a targeted approach to achieve gender equality, providing suitable working conditions for migrant women with children, and fostering cross-border cooperation between countries with labor shortages and surpluses through “coordinated migration projects.”
The report also called for the acceleration and enhancement of migrant integration into German society. This includes providing health and safety systems at work, various training programs for career advancement, and fostering a welcoming culture for migrants while countering anti-migrant sentiments. The report highlighted Germany’s positive steps in facilitating naturalization processes.
