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German craft sector faces shortage of 113,000 skilled workers

Caspar Frey by Caspar Frey
September 20, 2024
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The German craft sector is grappling with a significant shortage of skilled workers. A recent study reveals that approximately 113,000 positions remain unfilled due to a lack of qualified specialists, prompting calls for improved working conditions to attract young talent.

German craft sector faces shortage of 113,000 skilled workers
Specialists in building electrics are currently in particularly high demand, according to a new IW study. (Source: Sven Hoppe/dpa/dpa-bilder)

Critical shortages in key trades

According to a study by the employer-affiliated Institute of the German Economy (IW), the craft sector in Germany is facing a shortage of around 113,000 skilled workers. The research highlights that the most severe shortages are in building electrics and automotive technology. Specifically, there were about 18,300 unfilled positions for building electricians and 16,300 for automotive technicians, with no suitably qualified job seekers available. The shortage in the plumbing, heating, and air conditioning sector stands at 12,200 positions.

IW expert Lydia Malin, the study’s author, noted that while the number of new apprenticeship contracts in these professions is slowly increasing, the demand from companies is growing faster. “The gap is therefore getting bigger from year to year,” Malin explained.

Attracting young talent to the craft sector

Malin emphasized the appeal of craft jobs, stating, “Jobs in the craft sector are diverse, offer the opportunity to take on responsibility early, and thus provide good career prospects.” She also highlighted that these professions are crisis-proof, always in demand, and essential for successful climate transformation.

However, the IG Metall union is calling for better training conditions in the craft sector. Nadine Boguslawski, IG Metall’s tariff and craft board member, stated that companies need to become more attractive to young people through more binding tariff regulations. “With mobility, energy and heat transition, the craft sector is a decisive basis for a better future,” Boguslawski said in a union statement on the Day of Crafts (September 21).

Challenges in retaining skilled workers

The IG Metall union reports that only about 30 percent of employees in the craft sector benefit from collective agreements. Moreover, approximately 60 percent of young skilled workers leave for other industries after completing their training.

While there has been a slight increase in apprenticeship numbers for climate-related professions such as electrical technicians or plumbing-heating-air conditioning system mechanics, it falls far short of meeting the actual demand for new talent.

As the craft sector plays a crucial role in Germany’s transition to sustainable technologies, addressing this skills shortage becomes increasingly important for the country’s economic and environmental future.

Tags: craft sectorskilled workers

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