Reborn: "The Talent Void" Unveiling the Millions of Unprepared Youth in Germany
Article by M. A. Baxter
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Numerous youths in Germany are foregoing education, causing concern.
An alarming trend is surfacing in Germany: an escalating number of young individuals—1.6 million in 2022, according to the Institute for Employment Research—are emerging without a vocational training background or a university education. This unsettling increase in unskilled laborers is problematic, as the country is already grappling with a substantial shortage of skilled workers. However, taking swift measures can help mitigate the predicament.
These youth remain unprepared, primarily in the 20-34 age group. In 2022 alone, the percentage expanded—460,000 over the past 12 years, as reported by the Federal Institute for Vocational Education and Training. This divergence is attributed to the comparison between statistics provided by both institutions—where the latter takes into account all youth in that age range, while the former only focuses on employed individuals.
Data Protection
Germany is suffering a daunting deficit of qualified workers, averaging over 530,000 nationwide. This figure is projected to grow by 200,000 in the next two years, culminating in a shortfall of 730,000 skilled laborers by 2027, as predicted by the Institute of the German Economy.
Education Bottlenecks
Enzo Weber, a professor at the IAB, discusses the high numbers in the "ntv podcast, 'What's learned'" critically. "We are facing a multitude of bottlenecks in the social sector, healthcare, technology, and IT. We are also grappling with the effects of demographic change: Over the next 15 years, we will lose seven million employed persons due to aging."
Economy
Obtaining a qualification is paramount for over 75% of positions in Germany, a fact that many youth overlook. "[Germany] values qualification significantly," explains Weber. The issue starts in school, where every year, thousands of young individuals fail to graduate, roughly equating to six percent of all students, according to the Federal Statistical Office. Moreover, those without a diploma have a reduced chance of landing apprenticeship contracts, with three-quarters of untrained youth also educationally disadvantaged, as reported in the Vocational Training Report.
Immigration Impact
A significant factor driving the increase in the number of untrained young individuals is migration. Close to 45% of 20-34-year-old refugees from countries like Syria or Afghanistan lack vocational training, as per the IAB study. The trend is also visible among young people from other EU countries, albeit to a lesser extent, and among young Germans.
"Immigrants are not less educated; they come from entirely different educational systems," Weber notes. The professor advocates for stronger labor market integration, emphasizing the need to recognize, further develop, and qualify immigrants' skills to unlock their full potential in the German labor market.
Work Force Lure
Another factor contributing to the scarcity of apprentices: some young people opt for immediate employment upon completing school, often gravitating towards less skilled auxiliary jobs. The immediate earning potential in these roles, partially fueled by the recent increase in the minimum wage, is more attractive than enduring extended training.
In contrast, apprentices in their first year may earn as little as 680 euros per month, while helpers commonly earn above double. However, this disparity will not persist, asserts Weber. To revive interest in training, there should be more low-threshold offers, where individuals can complete certain modules in a flexible training program alongside work and eventually acquire a qualification.
Moreover, strengthening career guidance and orientation in schools, as well as enhancing a company's presence at fairs and providing young people with practical experiences, like company visits, student projects, internships, or online communication on platforms like YouTube, WhatsApp, and TikTok, are crucial steps to bridge the skills gap in Germany.
The Ghosting Phenomenon
Every second training company encounters difficulties in finding apprentices, a new record. Many companies do not even receive a single application. Companies cite a deficiency in suitable applicants as the main reason, while others struggle with apprentices abandoning their training prematurely. Nearly every fourth company with unfilled training places is affected by "ghosting."
Opportunities Amidst the Apprenticeship Shortage
Often, training opportunities don't align with the aspirations of young people, as revealed by a survey by the Bertelsmann Foundation and the Institute of the German Economy (IW). Companies can reach a wider pool of potential applicants if they leverage the right communication channels, as young people tend to use different platforms.
There is a substantial skills gap in Germany: over 73,000 training places remained vacant in 2023, an increase of over a third. With more strategic online communication, it may be possible to address the communication barriers between companies and young people. By doing so, young people can become aware of training occupations that offer significant long-term earning potential, such as technical research and development specialists. In fact, some vocational positions offer higher salaries than academic degrees.
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- Institute of the German Economy Cologne
- Bertelsmann Foundation
- Social Networks
- TikTok
- YouTube
- Apprentices
- Universities
- Application
- School
- Profession
- IAB
- To address the growing shortage of skilled workers in Germany and the increase in unskilled laborers, community aid and vocational training programs should be implemented to help bridge the education-and-self-development gap among the 20-34 age group, particularly for those young individuals from migrant backgrounds or refugees, as well as young Germans who lack vocational training.
- To reduce the general-news issue of over 730,000 skilled laborer shortages projected in Germany by 2027, financing is necessary to support vocational training initiatives, establish low-threshold offers in flexible training programs alongside work, and provide career guidance and orientation in schools, aiming to increase the demand for apprenticeships and reduce the ghosting phenomenon.
