Andrea Nahles, President of the German Federal Employment Agency (BA), stated that artificial intelligence will cause approximately 800 thousand job losses in the country in the next 15 years, but will create a similar number of new jobs.
In his interview with the German economic newspaper Handelsblatt, Nahles made evaluations about the great transformation that artificial intelligence will create in the German labor market and the qualified workforce deficit in the country.
Stating that artificial intelligence will transform employment rather than destroy it, Nahles said, "We predict that approximately 800 thousand jobs will disappear due to artificial intelligence in Germany in the next 15 years, but a similar number of new jobs will be created. Company service providers and analytical positions in insurance and banks will be harder affected by this process. Still, I want more investment in artificial intelligence in Germany, but this should not be because it is fashionable, but only as long as it increases productivity." he said.
"NO ONE IS EXEMPTED ANYMORE"
Nahles pointed out that job losses will not only affect highly skilled workers, and that the time it takes for young graduates to find employment has been extended due to the impact of the economic recession.
Stating that craft branches and relatively low-skilled jobs based on manual labor are more resistant to artificial intelligence, Nahles said, "Despite this, the basic rule remains valid, essentially no one is immune from this transformation anymore." made his assessment.
Noting that according to the data of the Institute of Employment Research (IAB), 1 in every 4 companies in Germany uses artificial intelligence, Nahles stated that, as an institution, they support companies in this transformation with digital training programs.
YOUTH UNEMPLOYMENT AND ECONOMIC UNCERTAINTY
Referring to the worsening employment expectations of the young generation, Nahles emphasized that apprenticeship and vocational training quotas decreased by 6 percent this year to approximately 31 thousand, while the number of applicants increased.
Stating that it will take time for the upward expectations in economic forecasts to be reflected in the labor market, Nahles said, "The uncertainty in the market is also reflected in open job positions. Even if the economic recovery stabilizes at the beginning of the year, it will take half a year for it to reach the labor market. This transformation will probably not occur before the summer of 2027." he said.
Stating that the increase in the number of unemployed people in Germany by 580 thousand people since 2022 is a priority problem in the short term, Nahles noted that the country's biggest "mega problem" in 5 years will be the shortage of qualified workforce.
Nahles stated that Germany loses a net 500 thousand employees every year due to demographic change and that intra-European migration is no longer sufficient, and pointed out that it is necessary to attract qualified workforce from non-European Union (EU) countries.
