Tackling labour and skills shortages is one of the key challenges of our time, with implications for the EU’s competitiveness, sustainable and inclusive growth, capacity for innovation, social cohesion, and green and digital transitions. In conclusions approved today, the Council calls on member states to address these shortages by boosting support for training and education, particularly for people who are currently underrepresented in the labour market.
“The EU needs to tackle labour and skills shortages if we are to remain at the vanguard of competitiveness, innovation and sustainable growth. The measures proposed in today’s conclusions will not only help address these shortages, they will also enable underrepresented groups access the labour market and increase their economic autonomy.” — Márton Nagy, Hungarian Minister for National Economy
Labour and skills shortages are increasing in all EU countries, driven by demographic change, demand for new skillsets, and poor working conditions in certain sectors. On the other hand, many people of working age in Europe are economically inactive or underemployed. This is the case particularly for women, low-skilled workers, older workers, young people, people from ethnic minorities, and persons with disabilities. The Council invites EU countries to help these underrepresented groups access employment in shortage areas, including by:
providing up- and reskilling opportunities in areas of identified labour market needs addressing individual and structural barriers to labour market participation tackling the gender pay gap and combatting gender stereotypes promoting fair, decent and stable working conditions in cooperation with the Commission, improving labour and skill forecasting
Background
On 20 March 2024, the European Commission published an action plan on labour and skills shortages in the EU. This plan, which was drafted in cooperation with the social partners, is considered a key deliverable of the European Year of Skills and follows up on the Val Duchesse Social Partners Summit that took place on 31 January 2024. Employment and social affairs ministers discussed labour and skills shortages at the EPSCO Council in July 2024, as part of a policy debate that took place in the context of the European Semester.