Skilled labor shortages in Germany could rise to 723,000 by 2029

There could be a shortage of around 723,000 skilled workers on the German labor market by 2029 - almost twice as many as in 2025. This is the result of a study by the employer-related Institute of the German Economy (IW). Last year there was a shortage of almost 370,000 skilled workers.

The skills gap could be greatest for salespeople in 2029: According to the IW, around 39,100 positions are likely to remain unfilled. The professional groups child care and education with 29,900 and social work and education with 23,600 jobs are also severely affected. This is followed by health and nursing (18,700) and construction electrical engineering (17,400).

Study author Alexander Burstedde attributes the expected increase, among other things, to the fact that many people will be retiring in the coming years. At the same time, there will probably be too few young people coming – also because fewer workers can be recruited from abroad. An economic recovery is likely to further increase the need for skilled workers.

The IW analysis continues the developments in the labor market based on data from the end of 2024 to 2029. It also shows how the skills shortage would develop if current trends continue.