Germany is expected to have an estimated shortage of 240,000 skilled workers by 2026, as announced by the labour minister Hubertus Heil. The unprecedented labour shortage in the country is triggered by factors like the digitalisation of the economy, covid-19 pandemic, and the conflict between Russia and Ukraine. This has also led to spiralling inflation in different parts of Germany, prompting the federal government to take immediate action.
To save the job market and build a culture of sustainability, the federal government has announced several modifications in the immigration policy in an attempt to attract skilled nationals and foreign labourers into the country. Simplifying the immigration policies will help foreign skilled workers to cross the hurdles and get easy access to the German job market. Let’s go through the reforms initiated by the German government to reduce the upcoming labour shortage.
What is the Skilled Immigration Act?
Before diving into the details regarding immigration policy, it is important to know about the Skilled Immigration Act in Germany. The Skilled Immigration Act allows people with essential skills and education to come to Germany for work. The act suggests that not only people with a university education but also those with vocational or non-academic training from outside the European Union can come to Germany.
This law allows people with vocational qualifications to obtain a residence permit for six months and look for a job in the meantime. Previously, there was a priority check conducted by the Federal Employment Agency to look for candidates from Germany or other European countries before granting employment to foreign nationals. This process was removed upon the implementation of the Immigration Act. The law also removed the restriction on foreign workers to be occupied on certain specific shortage occupations.
What are the changes in immigration policy?
The German federal government has initiated reforms in the existing policies to create a modern immigration policy that makes it easier for skilled international labourers to migrate. The relaxations which will be introduced in several phases include:
- Granting dual citizenship status to non-European workers. This will allow non-EU citizens to attain German nationality without sacrificing their original citizenship.
- Reducing the timeline to get this dual citizenship status from eight to five years and in some cases three years if the person can prove their German language proficiency.
- Allowing trade associations in Germany to recognise foreign educational qualifications thereby reducing the lengthy procedure of having to check their equivalence with German certifications.
- Making it easier for the families of immigrants to come to Germany and be part of the educational and labour system in the country. The mandate on German language proficiency certificate for the accompanies will also be eased.
- Introducing a points-based system to invite foreign workers to Germany without a job offer. A green card, also called an opportunity card, is likely to be issued making it easier for foreigners to get jobs in the country.
These modifications in immigration policy will allow foreign skilled workers to migrate to Germany and find lucrative job offers. The roles which are reported to have labour shortages include electrical engineers, craftspeople, IT specialists, nurses, hospitality and catering professionals, physicians, scientists, metallurgy workers, builders, and caregivers.
What is the new skilled labour strategy of the German government?
The government has come up with five points to counteract the shortage in the job market of which the changes in immigration policy are an integral part. Let’s take a look at the other four points of the action plan.
- Placing more emphasis on the dual education system to give kids proper career guidance and training opportunities at an early stage.
- Opening educational opportunities for everyone, irrespective of their age, with financial aid from the federal government to support the cause.
- Increasing the opportunities for women in the labour market by providing flexible working hours and extending childcare services for those who require it.
- Developing an employee-oriented work culture and creating flexible retirement plans, thereby allowing older skilled workers to remain in their job roles for longer.
This action plan is aimed at ensuring the participation of nationals along with immigrant skilled workers.
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